Q2 2026 E.ON SE Earnings Call - Press Conference

August 12, 2026

Speaker #1: Yeah, guten Morgen.

Speaker #2: Good morning, ladies and gentlemen. A warm welcome to our virtual press conference for the first half-year of E.ON SE. I'm delighted to welcome you virtually—the representatives of the media, who are joining us via Teams, and our viewers on the livestream. Our CEO, Leonhard Birnbaum, is with us, and Nadia Jakobi, our CFO. A warm welcome to both of you. In the 30 minutes ahead of us...

[Company Representative] (E.ON): Good morning, ladies and gentlemen. A warm welcome to our virtual press conference for the H1 of E.ON SE. I am delighted to welcome you virtually, the representatives of the media who are joining us via Teams and our viewers on the live stream. Our CEO, Leonhard Birnbaum, is with us and Nadia Jakobi, our CFO. A warm welcome to both of you. In the 30 minutes ahead of us, we will give you an overview of the business development of E.ON in the first six months. Afterwards, we will have the opportunity to ask questions to Mr. Birnbaum and Nadia Jakobi.

Speaker #2: We will give you an overview of the business development of E.ON in the first six months. Afterwards, you will have the opportunity to ask questions to Mr. Birnbaum and Nadia Jakobi.

Speaker #3: Members of the press, ladies and gentlemen, good morning from me. I would like to start with a topic that's on many people's minds right now: the never-ending war in Ukraine and the still unresolved conflict in the Middle East.

Leonhard Birnbaum: Members of the press, ladies and gentlemen, good morning from me. I would like to start with a topic that is on many people's minds right now, the never-ending war in Ukraine and the still unresolved conflict in the Middle East. Both have dramatically brought energy into the spotlight again. The good news is, despite all the bad news in Europe, companies and European governments and operators of critical infrastructure are much more prepared than ever. They have learned from the energy crisis in 2022. It is also clear that Europe and Germany in particular need to further strengthen their energy supply. The volatility tied to the navigability of Amur and the limited availability of gas there poses a threat to energy supply.

Speaker #3: Both have had a hand in dramatically bringing energy into the spotlight again. The good news is, despite all the bad news in Europe, companies and European governments—and operators of critical infrastructure—are much more prepared than ever.

Speaker #3: They have learned from the energy crisis in 2022, but it's also clear that Europe, and Germany in particular, need to further strengthen their energy supply.

Speaker #3: The volatility tied to the navigability of a moose and the limited availability of gas there poses a threat to energy supply. That's why the focus of the second half of the energy transition needs to be on making energy not only sustainable, but also keeping it affordable and ensuring it reaches the customers reliably.

Leonhard Birnbaum: That is why the focus of the H2 of the energy transition needs to be on making energy not only sustainable, but also keeping it affordable and ensuring it reaches the customers reliably. That brings me to E.ON's business. E.ON again delivered financially in the H1 of 2026. Adjusted group EBITDA of EUR 5.4 billion and adjusted group net income of EUR 1.9 billion puts us fully on track to meet our 2026 guidance. The tempo on our investments remained high as well. We invested EUR 3 billion in the first six months alone in Energy Networks, in customer solutions, and in the future of an advanced European energy system. The details on all of these numbers will be presented to you by Nadia in a moment. It is our employees that make these results possible. They move the energy transition forward day after day.

Speaker #3: And that brings me to E.ON's business. E.ON, again, delivered financially in the first half of 2026, adjusted group EBITDA of €5.4 billion and adjusted group net income of €1.9 billion. This puts us fully on track to meet our 2026 guidance.

Speaker #3: The tempo of our investments remained high as well. We invested €3 billion in the first six months alone—in networks, in customer solutions, and in the future of an advanced European energy system.

Speaker #3: The details on all of these numbers will be presented to you by Nadia in a moment. It is our employees that make these results possible.

Speaker #3: They move the energy transition forward day after day. They have delivered operationally and, for that, I would like to thank them. I also want to acknowledge that many of them do this in environments that involve inherent risks—so, electricity and infrastructure that is dangerous. And that is precisely where it matters that our employees return home safe and sound every day.

Leonhard Birnbaum: They have delivered operationally, and for that, I would like to thank them. I also want to acknowledge that many of them do this in environments that involve inherent risks. Electricity and infrastructure that is dangerous. That is precisely where it matters that our employees return home safe and sound every day. I am therefore deeply saddened to share with you that two fatal workplace accidents occurred last week, one in Germany and one in Turkey. My deepest sympathies go out to the families and the loved ones of the deceased employees, and also to their colleagues. Our goal remains clear. That is totally unacceptable. Our vision is Vision Zero. We do not want any workplace accidents. We want to make sure that all of our employees return home safe and sound every day. Today, the energy transition cannot just focus on debating policy targets and expanding renewables.

Speaker #3: I am therefore deeply saddened to share with you that two fatal workplace accidents occurred last week—one in Germany and one in Turkey. My deepest sympathies go out to the families and loved ones of the deceased employees.

Speaker #3: And also to their colleagues. Our goal remains clear: this is totally unacceptable. Our vision is Vision Zero—we don't want any workplace accidents; we want to make sure that all of our employees return home safe and sound every day.

Speaker #3: Today, the energy transition can't just focus on debating policy targets and expanding renewables. We need a systemic shift, and that's exactly where things stand right now.

Leonhard Birnbaum: We need a systemic shift, and that is exactly where things stand right now. In Germany, we added more than 130,000 grid connections, and more than 5 gigawatts of additional renewables capacity were connected to our networks. That equals to more than 1,000 state-of-the-art turbines. E.ON now integrates and administers more renewable capacity than all other network operators in Germany put together. Large-scale battery storage continues to boom as well. Beyond battery systems already connected, E.ON has issued approvals for more than 26 gigawatts of new capacity. To put this in perspective, that is more than a quarter of Germany's entire peak load. Requests for data center connections are growing at a similar rapid pace. We have already approved more than 13 gigawatts of new connections. We are living in a completely different world today.

Speaker #3: In Germany, we added more than 100,000—130,000 grid connections, and more than 5 gigawatts of additional renewables capacity were connected to our networks.

Speaker #3: That equals more than 1,000 state-of-the-art turbines. E.ON now integrates and administers more renewable capacity than all other network operators in Germany put together.

Speaker #3: Large-scale battery storage continues to boom as well. Beyond battery systems already connected, E.ON has issued approvals for more than 26 gigawatts of new capacity.

Speaker #3: To put this in perspective, that's more than a quarter of Germany's entire peak load. Requests for data center connections are growing at a similarly rapid pace.

Speaker #3: We've already approved more than 13 gigawatts of new connections, so we're living in a completely different world today. In the past, the energy system, as you know, was a one-way street from big power plants to consumers.

Leonhard Birnbaum: In the past, the energy systems, as you know, was a one-way street from big power plants to consumers. Today, we have smart homes, electric mobility, and over half of Germany's electricity comes from renewables. These millions of assets do not just need to be securely integrated and controlled, but also build. Also, the current scale of new batteries and data center connections would not have been imaginable just a few years ago. In this challenging and highly complex environment, E.ON ensures that the system stays stable and energy reliably reaches our customers. We are not just enabling the energy transition, but also the next steps in digitalization and artificial intelligence.

Speaker #3: Today, we have smart homes, electric mobility, and over half of Germany's electricity comes from renewables. These millions of assets don't just need to be securely integrated and controlled, but also billed.

Speaker #3: Also, the current scale of new batteries and data center connections wouldn't have been imaginable just a few years ago. In this challenging and highly complex environment, E.ON ensures that the system stays stable and energy reliably reaches our customers.

Speaker #3: And we're not just enabling the energy transition, but also the next steps in digitization and artificial intelligence. We are Germany's leading network operator in rolling out smart meters, and we're doing everything we can to provide new connections even faster, more efficiently, and smarter, while innovation and new business solutions are enabling us to make the best possible use of limited grid capacity.

Leonhard Birnbaum: We are Germany's leading network operator in rolling out smart meters, and we are doing everything we can to provide new connections even faster, more efficiently, and smarter, while innovations and new business solutions are enabling us to make the best possible use of limited grid capacity. I will illustrate this with three examples. First, our introduction of flexible connection agreements, so-called FCAs, provides a key tool for better integrating battery storage systems into our networks. That enables us to connect these systems faster while making better use of existing grid capacities. Together with our partner, ECO STOR, we are testing a uniform standard for all E.ON network operators. Second, many of our new approaches enable us to continue to optimize how we approve and install network connections swiftly and efficiently.

Speaker #3: I'll illustrate this with three examples. First, our introduction of flexible connection agreements, so-called FCAs, provides a key tool for better integrating battery storage systems into our networks.

Speaker #3: That enables us to connect these systems faster while making better use of existing grid capacities. Together with our partner Ecostor, we are testing a uniform standard for all E.ON network operators.

Speaker #3: Second, many of our new approaches enable us to continue optimizing how we approve and install network connections swiftly and efficiently. These include projects by our regional subsidiaries, such as the feed-in sockets, which, thanks to their genuine added value, are now included in the grid package under the name Anspice Nets.

Leonhard Birnbaum: These include projects by our regional subsidiaries, such as the feed-in sockets, which thanks to its genuine added value, is now included in the grid package under the name Anschluss ans Netz. Some of our regional companies are also working on a new pilot plan for even more efficiently prioritizing grid capacity for connection requests with high load requirements. More details about this will be shared over the coming days. Third, our digital twin technology from envelio enables us to digitally model energy flows and thus make grid planning more precise, identify capacity faster, and provide connections more efficiently. This process recently received the Reuters Energy Industry Award 26 in New York. All of this demonstrates that E.ON is not just expanding the power grid, which is currently reaching its limits in Germany. We are also making sure new energy works better, swiftly, efficiently, and digitally.

Speaker #3: Some of our regional companies are also working on new pilot plans for even more efficiently prioritizing grid capacity for connection requests with high-load requirements.

Speaker #3: More details about this will be shared over the coming days. Third, our digital twin technology from Inverio enables us to digitally model energy flows, and thus make grid planning more precise, identifying capacity faster and providing connections more efficiently.

Speaker #3: And this process recently received the Reuters Energy Industry Award 2026 in New York. All of this demonstrates that E.ON isn't just expanding the power grid, which is currently reaching its limits in Germany.

Speaker #3: We are also making sure new energy works better—swiftly, efficiently, and digitally. That is exactly what we're doing with our solutions in the retail business as well.

Leonhard Birnbaum: That is exactly what we are doing with our solutions in the retail business as well. With the announced acquisitions of the energy provider OVO in the UK, we are strengthening our position in one of our most important markets and offering our customers an even broader portfolio of solutions. We are also helping our business customers reduce their energy costs and make their energy supply more autonomous, even in tough economic times. In Germany, we are offering a combined package for solar and battery for larger facilities, which enables companies to meet more of their energy needs flexibly, cost efficiently, and autonomously. We are working to create another source of flexibility as part of Germany's government-funded BDL Next Project. This project brings us together with industry and other network operators and research institutes to test how to scale up bidirectional charging.

Speaker #3: With the announced acquisition of the energy provider OVO in the UK, we are strengthening our position in one of our most important markets and offering our customers an even broader portfolio of solutions.

Speaker #3: We are also helping our business customers reduce their energy costs and make their energy supply more autonomous, even in tough economic times. In Germany, we're offering a combined package for solar and battery for larger facilities, which enables companies to meet more of their energy needs flexibly, cost-efficiently, and autonomously.

Speaker #3: We're working to create another source of flexibility as part of Germany's government-funded BDL Next project. This project brings us together with industry and other network operators, as well as research institutes, to test how to scale up bidirectional charging.

Speaker #3: In our energy infrastructure solutions business, we installed highly efficient energy recovery systems at an Emesis production facility in Belgium. This system's peak output is 29 megawatts, which is enough to power the entire site. Surplus electricity is fed into the grid and will meet the needs of around 40,000 households.

Leonhard Birnbaum: In our Energy Infrastructure Solutions business, we installed a highly efficient energy recovery system at an Imerys production facility in Belgium. This system's peak output is 29 megawatts, which is enough to power the entire site, and surplus electricity is fed into the grid and will meet the needs of around 40,000 households. Projects like these demonstrate that E.ON is shaping the second half of the energy transition. We are enabling our customers to tap into the potential of electrification, and that is why we welcome the EU's massive push for electrification. Increased electrification of heating, transport, and industrial processes will correspondingly reduce Europe's dependence on fossil fuel imports. Right now, though, Europe still needs gas, especially for heating. Germany's gas storage facilities are currently 49% full, which is significantly lower than the EU average. In a tense geopolitical environment, Germany cannot rely on neighboring countries and energy supplies.

Speaker #3: Projects like these demonstrate that E.ON is shaping the second half of the energy transition. We're enabling our customers to tap into the potential of electrification, and that's why we welcome the EU's massive push for electrification.

Speaker #3: Increased electrification of heating, transport, and industrial processes will correspondingly reduce Europe's dependence on fossil fuel imports. Right now, though, Europe still needs gas, especially for heating.

Speaker #3: Germany's gas storage facilities are currently 49% full, which is significantly lower than the EU average. In a tense geopolitical environment, Germany can't rely on neighboring countries' analogy supplies.

Speaker #3: It needs to take action to ensure that the more than 20 million households that still rely on natural gas have a secure supply this winter.

Leonhard Birnbaum: It needs to take action to ensure that the more than 20 million households that still rely on natural gas have a secure supply this winter. Volatility and geopolitically induced price swings on commodity trading markets are here to stay. We are doing everything we can to cushion our customers from price spikes on wholesale markets. Our long-term procurement strategy will enable us to keep power and gas prices in our largest market, Germany, stable this year for all existing customers and those on default supply contracts. In our second-largest retail market, the United Kingdom, we are offering customers the Next Pledge tariff, which guarantees savings relative to the government-set price cap. All of this underscores E.ON's commitment to being a reliable partner for our customers, also in turbulent times. We back up this commitment with our investment program.

Speaker #3: Volatility and geopolitically induced price swings on commodity trading markets are here to stay. We are doing everything we can to cushion our customers from price spikes on wholesale markets.

Speaker #3: Our long-term procurement strategy will enable us to keep power and gas prices in our largest market, Germany, stable this year for all existing customers and those on default supply contracts.

Speaker #3: And in our second-largest retail market, the United Kingdom, we're offering customers the Pledged Tariff, which guarantees savings relative to the government-set price cap.

Speaker #3: All of this underscores E.ON's commitment to being a reliable partner for our customers, even in turbulent times. We back up this commitment with our investment program.

Speaker #3: E.ON plans to invest €48 billion between 2026 and 2030, of which about €40 billion is allocated to our energy networks business.

Leonhard Birnbaum: E.ON plans to invest EUR 48 billion between 2026 and 2030, of which about EUR 40 billion is allocated to our Energy Networks business. This is one of Europe's largest private infrastructure programs, contributing to value creation and employment in economically challenging times. It is also essential for the success of the energy transition and the transformation of the energy system. Today, there is more competition for capital than ever. A key factor for future investments is therefore the upcoming determination of Germany's regulatory cost of capital rates for power and gas networks, which must adequately reflect the real financing costs. The task is to get the whole package right. Full planning certainty for the next regulatory package is only achieved once all of the parameters are finalized. These parameters include the rate on return, the efficiency benchmark, and the OPEX adjustment factor.

Speaker #3: This is one of Europe’s largest private infrastructure programs, contributing to value creation and employment in economically challenging times. It’s also essential for the success of the energy transition and the transformation of the energy system.

Speaker #3: Today, there's more competition for capital than ever. A key factor for future investments is therefore the upcoming determination of Germany's regulatory cost of capital rates for power and gas networks, which must adequately reflect the real financing costs.

Speaker #3: The task is to get the whole package right: full planning certainty for the next regulatory package is only achieved once all of the parameters are finalized.

Speaker #3: And these parameters include the rate of return, the efficiency benchmark, and the OPEX adjustment factor. The totality of these regulations will determine whether, amid global competition, Germany will be an attractive market for private infrastructure capital over the long term.

Leonhard Birnbaum: The totality of these regulations will determine whether, amid global competition, Germany will be an attractive market for private infrastructure capital over the long term. The message is simple. Anyone who expects significant private investment in networks in the future must now establish the regulatory framework to make that possible. That is why we have unambiguously made our announced investments in Germany contingent on economically viable regulation. The sooner we get comprehensive clarity on the parameters for the fifth regulatory period for power, the sooner we can sharpen our investment planning for 2029 onwards. The first half of the energy transition was about expanding renewables. The second half is primarily about network infrastructure, system integration, and efficiency. The policy framework for the energy transition, therefore, needs to be realigned. This applies first and foremost at the European level. We fundamentally welcome the direction of the planned EU grids package.

Speaker #3: The message is simple: Anyone who expects significant private investment in networks in the future must now establish the regulatory framework to make that possible.

Speaker #3: That's why we have unambiguously made our announced investments in Germany contingent on economically viable regulation. The sooner we get comprehensive clarity on the parameters for the fifth regulatory period for power, the sooner we can sharpen our investment planning for 2029 onwards.

Speaker #2: Meine Damen und Herren, während die ...

Speaker #1: The first half of the energy transition was about expanding renewables. The second half is primarily about network infrastructure, system integration, and efficiency. The policy framework for the energy transition, therefore, needs to be realigned.

Speaker #1: This applies first and foremost at the European level. We fundamentally welcome the direction of the planned EU grids package. It recognizes networks as the backbone of the energy transition and addresses key challenges in planning, financing, and permitting.

Leonhard Birnbaum: It recognizes networks as backbone of the energy transition and addresses key challenges in planning, financing, and permitting. There also needs to be greater legal certainty for faster network connections as well, and where grid capacity is scarce, there need to be provisions for transparent and legally binding prioritization mechanisms. Equally important are visible achievements in reducing bureaucracy for larger companies like E.ON. If Europe wants the energy transition to progress at maximum speed, it needs to set the lowest possible bureaucratic hurdles, reporting requirements, documentation obligations, and regulatory rules like the Act on Corporate Due Diligence Obligations in Supply Chains, or the Pay Transparency Directive, or the EU taxonomy, and I could give much more examples, can't allow to stand in the way of transformation, especially when these rules offer actually little benefit and do not help us in our day-to-day work at all.

Speaker #1: There also needs to be greater legal certainty for faster network connections as well, and where grid capacity is scarce, there need to be provisions for transparent and legally binding prioritization mechanisms.

Speaker #1: Equally important are visible achievements in reducing bureaucracy. For larger companies like E.ON, if Europe wants the energy transition to progress at maximum speed, it needs to set the lowest possible bureaucratic hurdles, reporting requirements, documentation obligations, and regulatory rules—like the Act on Corporate Due Diligence Obligation in Supply Chains, the Pay Transparency Directive, or the EU Taxonomy.

Speaker #1: And I could give many more examples. We can't allow this to stand in the way of transformation, especially when these rules actually offer little benefit and do not help us in our day-to-day work at all.

Speaker #1: And Germany needs to be faster too. Together with the energy industry, I would have preferred for progress on the core issues around network connections to be much faster.

Leonhard Birnbaum: Germany needs to be faster, too. Together with the energy industry, I would have preferred for progress on the core issues around network connections to be much faster. After all, the Federal Ministry for Economic Affairs and Energy's grid package has been around since the start of the year and contains specific and solid proposals to enhance system cost efficiency. That is why the federal cabinet finally agreed on the grids package in late July, a package aimed at reducing Germany's consumers exposure to high energy system costs, which was an important step. The key is to shift away from the first come, first served approach to legally binding prioritization of bottlenecks. Not the one who puts the application in first gets first served, but only those who really want to connect to the system. Equally important are locational signals to propel the renewables expansion.

Speaker #1: After all, the Federal Ministry of Economic Affairs and Energy's grid package has been around since the start of the year and contains specific and solid proposals to enhance system cost efficiency.

Speaker #1: That's why the federal covenant finally agreed on the grids package in late July, a package aimed at reducing Germany's consumers' exposure to high energy system costs, which was an important step.

Speaker #1: The key is to shift away from the first-come, first-served approach to legally binding prioritization of bottlenecks. Not the one who puts the application in first gets first served, but only those who really want to connect to the system. Equally important are locational signals to propel the renewables expansion.

Speaker #1: System costs currently remain high because generating capacity is being built in regions that already have grid bottlenecks. Going forward, Germany needs effective signals to counteract this.

Leonhard Birnbaum: System costs currently remain high because generating capacity is being built in regions that already have grid bottlenecks. Going forward, Germany needs effective signals to counteract this. The redispatch proviso is a sustainable tool for this, but its modalities can't be so lax that it becomes a mere paper tiger. Consequently, the grids package needs to be adjusted and passed by Parliament without delay, and it too needs to be as simple and straightforward as possible and also actually reduce system costs. We don't need even more well-intentioned, detailed regulations and exceptions that only make things more complex and expensive. In July, the coalition committee announced a distribution grids package as well. This again underscores the urgency of faster network connections, especially for industry. It also highlighted a key factor for increasing speed, faster permitting processes. This will require less bureaucracy and, again, faster legal review. Germany can move fast.

Speaker #1: The redispatch proviso is a sustainable tool for this, but its modalities can't be so lax that it becomes a mere paper tiger. Consequently, the Grids Package needs to be adjusted and passed by parliament without delay, and it too needs to be as simple and straightforward as possible and also actually reduce system costs.

Speaker #1: We don't need even more well-intentioned, detailed regulations and exceptions that only make things more complex and expensive. In July, the coalition committee announced a distribution grids package as well.

Speaker #1: This again underscores the urgency of faster network connections, especially for industry. It also highlighted a key factor for increasing speed: faster permitting processes. This will require less bureaucracy and, again, faster legal review.

Speaker #1: Germany can move fast. We saw that with the energy grid expansion. Rapid expansion is now needed as a new normal standard. The distribution grids package is therefore generally a step in the right direction, but it's only the second step.

Leonhard Birnbaum: We saw that with the energy expansion grid. Rapid expansion is now needed as a new normal standard. The distribution grids package is therefore generally the step in the right direction, but it is only the second step. The grids package needs to get across the finishing line first, because it is not ambitions and aspirations that count for the second half of the energy system, but what happens on the field is what counts, and that is precisely where E.ON comes in. That is precisely where we want to use our role as playmaker to shape the game, and that is precisely where, again, we will be continuing. With that, I hand over to Nadia.

Speaker #1: The grids package needs to get across the finishing line first, because it's not ambitions and aspirations that count for the second half of the energy system, but what happens on the field.

Speaker #1: That's what counts. And that's precisely where E.ON comes in. That's precisely where we want to use our role as playmaker to shape the game.

Speaker #1: And that's precisely, again, where we will be continuing. With that, I hand over to Nadia.

Speaker #3: Thank you, Leo. A warm welcome from me too, ladies and gentlemen. Leo just outlined where we are standing in the energy transition and how we continue to deliver operationally.

Nadia Jakobi: Thank you, Leo. A warm welcome from me too, ladies and gentlemen. Leo just outlined where we are standing in the energy transition and how we continue to deliver operationally. The demand for grid connections is rising. We are encountering more storage systems, more data centers, and more electrical applications. In short, the energy system is becoming bigger, more complex, and more digital. I would now like to turn to our financial figures and discuss how earnings and investments developed across our business divisions. The top-line message is that E.ON had a successful H1 2026. We increased our earnings year over year. We continue to make massive investments, and we are reaffirming our full-year guidance. This is not a given in the current environment. Economic and geopolitical conditions remain challenging. The ongoing conflict in the Middle East continues to cause volatility in wholesale electricity markets.

Speaker #3: The demand for grid connections is rising. We are encountering more storage systems, more data centers, and more electrical applications. In short, the energy system is becoming bigger, more complex, and more digital.

Speaker #3: I would now like to turn to our financial figures and discuss how earnings and investments developed across our business divisions. The top-line message is that E.ON had a successful first half of 2026.

Speaker #3: We increased our earnings year over year. We continue to make massive investments, and we're reaffirming our full-year guidance. This is not a given in the current environment.

Speaker #3: Economic and challenging. The ongoing conflict in the Middle East continues to cause volatility in wholesale electricity markets. At the same time, we see a very clear structural trend in our markets.

Nadia Jakobi: At the same time, we see a very clear structural trend in our markets. Demand for energy infrastructure continues to grow. Customers want to electrify. Industrial enterprises are looking for solutions for a more efficient and climate-friendly energy supply, and the grids are a critical enabler of this development. E.ON is well-positioned to play exactly this role. This is also reflected in our earnings figures. In the H1 2026, adjusted group EBITDA increased by 1% to EUR 5.4 billion, which was in line with our expectations. Adjusted group net income rose by 5% to EUR 1.9 billion. After the first six months, we are therefore fully on track to achieve our full-year targets. For 2026, we continue to expect adjusted group EBITDA in the range of EUR 9.4 to EUR 9.6 billion and adjusted group net income of EUR 2.7 to EUR 2.9 billion.

Speaker #3: Demand for energy infrastructure continues to grow. Customers want to electrify. Industrial enterprises are looking for solutions for a more efficient and climate-friendly energy supply, and the grids are a critical enabler of this development.

Speaker #3: E.ON is well positioned to play exactly this role. This is also reflected in our earnings figures. In the first half of 2026, adjusted group EBITDA increased by 1% to €5.4 billion, which was in line with our expectations.

Speaker #3: Adjusted group net income rose by 5% to 1.9 billion euros. In the first six months, after the first six months, we're therefore fully on track to achieve our full-year targets.

Speaker #3: For 2026, we continue to expect adjusted group EBITDA in the range of €9.4 to €9.6 billion and adjusted group net income of €2.7 to €2.9 billion.

Speaker #3: This corresponds to adjusted earnings per share of €1.03 to €1.11. Let me now turn to our individual business divisions. Starting with Energy Networks, adjusted EBITDA increased slightly year over year to more than €3.8 billion.

Nadia Jakobi: This corresponds to adjusted earnings per share of EUR 1.03 to EUR 1.11. Let me now turn to our individual business divisions. Starting with Energy Networks, adjusted EBITDA increased slightly year over year to more than EUR 3.8 billion. The business continued to benefit from substantial investments in the expansion and modernization of Energy Networks. Positive contributions came both from Germany and other European markets, especially in Central and Southeastern Europe. In Germany, the further expansion of our smart meter business also supported earnings performance, whereas expenditures for sustainable growth measures, as well as the deconsolidation of the NEW Group, had an adverse effect. Next is Energy Infrastructure Solutions. The business division delivered a strong performance in the H1 of the year. Adjusted EBITDA increased by 19% year over year to around EUR 390 million. The main driver was the industrial customer business in Germany, where new growth projects were brought into operation.

Speaker #3: The business continued to benefit from substantial investments in the expansion and modernization of energy networks. Positive contributions came from both Germany and other European markets, especially in Central and Southeastern Europe.

Speaker #3: In Germany, the further expansion of our smart meter business also supported earnings performance, whereas expenditures for sustainable growth measures, as well as the deconsolidation of the NEW Group, had an adverse effect.

Speaker #3: Next is Energy Infrastructure Solutions. The business division delivered a strong performance in the first half of the year. Adjusted EBITDA increased by 19% year over year to around €390 million.

Speaker #3: The main driver was the industrial customer business in Germany, where new growth projects were brought into operation. In addition, the pass-through of higher procurement costs from prior years had a positive effect on earnings.

Nadia Jakobi: In addition, the pass-through of higher procurement costs from prior years had a positive effect on earnings. I will now turn to Energy Retail. Energy Retail also had a successful H1 of the year. As expected, adjusted EBITDA of EUR 1.2 billion was slightly below the prior year level. This development mainly reflects structural effects in Germany, including the deconsolidation of the NEW Group. In contrast, process optimizations in customer management processes had a positive impact. In the United Kingdom, positive effects in the residential customer business and in connection with energy efficiency measures more than offset the earnings declines resulting from the continued roll-off of legacy contracts with industrial and commercial customers. Let me now turn to our investments.

Speaker #3: I will now turn to Energy Retail. Energy Retail also had a successful first half of the year. As expected, adjusted EBITDA of €1.2 billion was slightly below the prior year level.

Speaker #3: This development mainly reflects structural effects in Germany, including the deconsolidation of the NEW group. In contrast, process optimizations in customer management processes had a positive impact in the United Kingdom. Positive effects in the residential customer business, and in connection with energy efficiency measures, more than offset the earnings declines resulting from the continued roll-off of legacy contracts with industrial and commercial customers.

Speaker #3: Let me now turn to our investments. In the first half of 2026, we invested a total of €3 billion. And we stand by our plan to invest a total of about €8.7 billion for the full year.

Nadia Jakobi: In the H1 of 2026, we invested a total of EUR 3 billion, and we stand by our plan to invest a total of about EUR 8.7 billion for the full year. In Energy Networks, investments amounted to roughly EUR 2.3 billion in the first 6 months of the year. They went primarily towards new grid connections and the expansion of network infrastructure. This figure is lower than in the prior year period, and the decline is mainly attributable to Germany, where weather conditions caused delays in the Q1 and some projects were temporarily postponed. These investments will be caught up over the course of the year. At the same time, Energy Networks increased its investments in the first 6 months in several European countries, especially in the Czech Republic, Poland, and Hungary. This underlines that investment needs are not limited to a single market. They arise across Europe.

Speaker #3: In energy networks, investments amounted to roughly €2.3 billion in the first six months of the year. They went primarily towards new grid connections and the expansion of network infrastructure.

Speaker #3: This figure is lower than in the prior year period, and the decline is mainly attributable to Germany, where weather conditions caused delays in the first quarter and some projects were temporarily postponed.

Speaker #3: These investments will be caught up over the course of the year. At the same time, Energy Networks increased its investments in the first six months in several European countries, especially in the Czech Republic, Poland, and Hungary.

Speaker #3: This underlines that investment needs are not limited to a single market; they arise across Europe. In energy infrastructure solutions, we invested about €360 million, slightly above the prior year level.

Nadia Jakobi: In Energy Infrastructure Solutions, we invested about EUR 360 million, slightly above the prior year level. These investments focused on energy infrastructure for industrial customers, cities, and municipalities, supporting projects that make energy supply more efficient, climate-friendly, and resilient. In Energy Retail, investments amounted to around EUR 240 million, also slightly exceeding the prior year level. They went primarily towards the expansion of charging infrastructure across Europe and digitalization. All these investments advance the energy transition in specific ways. We are enabling new grid connections, increasing grid capacity, digitalizing our infrastructure, and developing solutions that unlock additional flexibility for the energy system. At the same time, we are investing in charging infrastructure and new customer solutions.

Speaker #3: These investments focused on energy infrastructure for industrial customers, cities, and municipalities, supporting projects that make energy supply more efficient, climate-friendly, and resilient. In energy retail, investments amounted to around €240 million, also slightly exceeding the prior year level.

Speaker #3: They went primarily towards the expansion of charging infrastructure across Europe and digitalization. All these investments advanced the energy transition in specific ways. We are enabling new grid connections, increasing grid capacity, digitalizing our infrastructure, and developing solutions that unlock additional flexibility for the energy system.

Speaker #3: At the same time, we are investing in charging infrastructure and new customer solutions. This not only helps to integrate renewables more effectively into the system, it also supports further growth driven by the increasing electrification of transport, heating, and industry.

Nadia Jakobi: This not only helps to integrate renewables more effectively into the system, it also supports further growth driven by the increasing electrification of transport, heating, and industry, and it enables our customers to actively participate in and benefit from the energy transition. To continue to invest at this scale, we need a reliable and appropriate framework. Long-term infrastructure investments require planning certainty. Where regulation supports investment and innovation, we can continue the expansion of energy infrastructure and meet the growing demand for electrification. I will conclude with a summary. First, E.ON delivered in the H1 of 2026. Adjusted group EBITDA and adjusted group net income both increased year over year, and our business divisions are performing as planned. Second, we continue to invest in the infrastructure needed for the H2 of the energy transition, provided that the regulatory framework is right.

Speaker #3: And it enables our customers to actively participate in, and benefit from, the energy transition. To continue to invest at this scale, we need a reliable and appropriate framework.

Speaker #3: Long-term infrastructure investments require planning certainty. Where regulation supports investment and innovation, we can continue the expansion of energy infrastructure and meet the growing demand for electrification.

Speaker #3: I'll conclude with a summary. First, E.ON delivered in the first half of 2026. Adjusted Group EBITDA and adjusted Group net income both increased year over year, and our business divisions are performing as planned.

Speaker #3: Second, we continue to invest in the infrastructure needed for the second half of the energy transition, provided that the regulatory framework is right. And third, we confirm our guidance for the full year of 2026, as well as our outlook through 2030.

[Company Representative] (E.ON): And third, we confirm our guidance for the full year of 2026, as well as our outlook through 2030. Overall, we remain firmly on track operationally and financially. Demand for energy infrastructure continues to grow across Europe, and through our investments, we are creating the foundation needed to support this growth while advancing the energy transition. Thank you. Thank you very much, Nadia and Leo, for your presentations. I would like to open the Q&A session, please raise your virtual hand. First questions have already come in. It would be nice if you could show your camera. If you do not want to be seen in the live chat, then switch off your camera. But as mentioned, we would be delighted to see you.

Speaker #3: Overall, we remain firmly on track, operationally and financially. Demand for energy infrastructure continues to grow across Europe, and through our investments, we are creating the foundation needed to support this growth while advancing the energy transition.

Speaker #3: Thank you. Thank you very much, Nadia and Leo, for your presentations. I would like to open the Q&A session, so please raise your virtual hand.

Speaker #3: First questions have already come in. It would be nice if you could show your camera. If you do not want to be seen in the live chat, then switch off your camera.

Speaker #3: But as mentioned, we would be delighted to see you.

Speaker #1: Well, the first on our list of journalists who started turning up from handled start. Good morning, everyone. I've got two questions—one about the grid package, which you just mentioned, Mr. Birnbaum.

Danny Kirner: Well, the first on our list of journalists is Danny Kirner from Handelsblatt. Good morning, everyone. I have got two questions. One about the grid package, which you just mentioned, Mr. Birnbaum. You said that you would wish for some improvements to be made, maybe the redispatch proviso. Maybe you can explain exactly what you do not like at the moment. There are requests from other parties as well for the network operators to do more as part of this package. What do you have to say to that? Secondly, you also mentioned it, the next regulatory period, your investment is under the proviso that conditions are changed. So what amount is subject to that proviso, and why is it so important for the conditions to be improved? There is much criticism of the network operators, and apparently, you are coping with the current conditions pretty well.

Speaker #1: You said that you would wish for some improvements to be made, maybe to the redispatch proviso. Maybe you can explain exactly what you do not like at the moment.

Speaker #1: I mean, there are requests from other parties as well for the network operators to do more as part of this package. What do you have to say to that?

Speaker #1: And secondly, you also mentioned it: the next regulatory period, your investment is under the proviso that conditions are changed. So what amount is subject to that proviso?

Speaker #1: And why is it so important for the conditions to be improved? I mean, there's much criticism of the network operators, and apparently you are coping with the current conditions pretty well.

Speaker #1: And yeah, there are not investors as in, as with tenants. So, what improvements are you looking for, for you to be able to continue to invest?

Leonhard Birnbaum: Yeah, there are not investors as with TenneT. So what improvement are you looking for you to be able to continue to invest? Well, first of all, the grid package. What is important here is, as I said in my speech, we need a locational signal. We need to make sure that the addition happens in the grid where it just does not drive up system costs, but where the projects actually offer a real benefit for the customers. This redispatch proviso is the instrument of choice here. It was selected by the legislator, by the ministry, and we would now wish for this not to be watered down until the end. It turns out not to be an effective instrument after all.

Speaker #1: Well, first of all, the grid package. What is important here is, as I said in my speech, we need a locational signal. We need to make sure that the addition happens in the grid where it just doesn't drive up system costs, but where the projects actually offer a real benefit for the customers. And really, dispatch proviso is the instrument of choice here.

Speaker #1: It was selected by the legislator, by the ministry. And we would now wish for this not to be watered down until the end. It turns out not to be an effective instrument after all.

Speaker #1: And when I talk about improvements, people are trying to bring in all sorts of exceptions and to water down the effect. We need to counteract that.

Leonhard Birnbaum: When I talk about improvements, then well, people are trying to bring in all sorts of exceptions and to water down the effect, and we need to counteract that. We would wish a even stronger signal than envisaged in the draft now, and we would wish for a rule that we can administer later on, because let me say that the entire complexity of regulation is always to be shouldered by the network operator. Most of the players in the energy transition do not have to do that or are not burdened with that. When it comes to assuming responsibility, we are assuming responsibilities already. We have to ensure the connections regardless of where they are. We have to ensure system integration. We have to administer the complexity, which is enhanced all the time. Let me give you an example.

Speaker #1: We would wish for an even stronger signal than in the draft now. And we would wish for a rule that we can administer later on because, let me say, the entire complexity of regulation is always, yeah, to be shouldered by the network operator.

Speaker #1: Most of the players in the energy transition don't have to do that, or are not burdened with that. And when it comes to assuming responsibility, we are assuming responsibilities already.

Speaker #1: We have to ensure the connections, regardless of where they are. We have to ensure system integration. We have to administer the complexity, which is enhanced all the time. Let me give you an example.

Speaker #1: Are we in the grid solutions business that deals with all the measured values? Also, for the feed-in in 2020, did we have five million measured values now?

Leonhard Birnbaum: Our E.ON Grid Solutions business that deal with all the measured values, also for the feed-in in 2020, had 5 million measured values. Now, we have 27 billion measured values, and the rollout of the smart meters has only just begun. We are meeting our obligations. What we need, we need to invest massively, and we can only attract the capital we need if we can show returns on the capital markets that are competitive by international comparison, and for that, we need improvement. We never complained about regulatory period 4. We just said the fifth regulatory period has to afford the same opportunities for us and has to allow us to earn money with the additional investment. If we have to invest more and more to not earn more than in the end, then the question is, why should we invest in the first place?

Speaker #1: We have 70.27 billion measured values, and the rollout of the smart meters has only just begun. So we are meeting our obligations. What we need—we need to invest.

Speaker #1: Massively. And we can only attract the capital we need if we can show returns on the capital markets that are competitive by international comparison, and for that, we need improvement.

Speaker #1: We never complained about the regulatory period. We just said the fifth regulatory period has to afford the same opportunities for us and has to allow us to earn money with the additional investment.

Speaker #1: If we have to invest more and more but not earn more in the end, then the question is: why should we invest in the first place?

Speaker #1: And the last point: Without private capital, the energy transition cannot be accomplished. We need to attract private capital. And also, the capital that is invested in Amprion is expecting higher returns for the fifth regulatory period, or at least the same profitability we have at the moment.

Leonhard Birnbaum: The last point, without private capital, the energy transition cannot be accomplished. We need to attract private capital. Also the capital that invested in Amprion is expecting higher returns for the fifth regulatory period, or at least the same profitability we have at the moment. Well, let me add to that. The current proposals are actually worsening what we have seen in the fourth regulatory period. For example, if in 2025 or 2026 we have invested, we are currently getting, for this new investment, the mark to market. Whereas with the same investments in 2026 will give us in 2027 only the borrowed capital financing costs over the last 7 years, which is the low interest rate phase from the beginning of the decade. They are affected in as well.

Speaker #1: Well, let me add to that. The current proposals are actually worsening what we have seen in the fourth regulatory period. For example, if in 2025 or 2026, we have invested, we are currently getting for this new investment, the mark to market, whereas with the investments in or the same investments in 2026 will give us in 2027 only the borrowed capital financing costs over the last seven years, which is the low interest rate phase from the beginning of the decade.

Speaker #1: They are affected as well. So, the improvements we are expecting are compared to the current proposals, because they are much lower than the better returns in the fourth regular period.

Leonhard Birnbaum: The improvements we are expecting are compared to the current proposals because they are much lower than the better returns in the fourth regulatory period. For example, the stricter benchmark, the redispatch measures, which are now factored into the conditions. Can you say how much money is under the proviso? How much of your investment is under the proviso? No, we do not want to speculate about that. It will depend on how the energy package pans out in the end. But had not you communicated that last year already? No. Last year, we communicate the potential upside we see if there is appropriate regulation. But that continues to apply? Okay, two additional questions were okay. I think you have posted 6 questions now. We can do this bilaterally if you want to. There is a long list of other questions. We can come back to that later on after today's event.

Speaker #1: For example, the stricter benchmark there—the redispatch measures—which are now factored into the conditions. Can you still say how much money is under the proviso?

Speaker #1: How much of your investment is under the proviso? No, we don't want to speculate about that. It will depend on how the energy package pans out in the end.

Speaker #1: But had you communicated that last year already? No, last year we communicated the potential upside we see if there is appropriate regulation. But that continues to apply.

Speaker #1: Okay. Two additional questions were okay. I think you posted six questions now. We can do this bilaterally if you want to. There's a long list of other questions.

Speaker #1: So we can come back to that later on, after today's event. Next, Ms. Brandel from Bloomberg. Ms. Brandel, please.

Eva Brendel: Next, Ms. Brendel from Bloomberg. Ms. Brendel, please. Yeah, thank you. I have got two questions. One is, do you see any impact of the drought and the heat we are seeing at the moment on grids, or are you only indirectly affected? What is your take on the current progress of electrification in Germany? More and more people are interested in e-mobility because refueling petrol cars has become so expensive. But what is the status concerning gas heating and also in industry? Let me start with the second part of your question. We are seeing a considerable rise in e-mobility or cars being registered by some 50%, and we are seeing a considerable increase in the installation of heat pumps. The speculation that the flexibility in the system will lead to a boom in gas-fired heating cannot be confirmed by us. Electrification in the private customer segment is developing positively.

Speaker #2: Yeah, actually.

Speaker #1: Thank you. I've got two questions. One is: Do you see any impact of the drought and the heat we're seeing at the moment on grids, or are you only indirectly affected?

Speaker #1: And what is your take on the current progress of electrification in Germany? More and more people are interested in e-mobility because refueling petrol cars has become so expensive.

Speaker #1: But what's the status concerning gas heating and also in industry? Let me start with the second part of your question. We're seeing a considerable rise in e-mobility, with cars being registered up by some 50%.

Speaker #1: And we're seeing a considerable increase in the installation of heat pumps. This speculation that the flexibility in the system will lead to a boom in gas-fired heating cannot be confirmed by us.

Speaker #1: So, electrification in the private customer segment is developing positively. In industry, well, they are still kind of reserved at the moment, and that compensates the rise. Therefore, in total, we're seeing a low but slight increase in power demand.

Leonhard Birnbaum: In industry, well, they are still kind of reserved at the moment, and that compensates the rise. Therefore, in total, we are seeing a low but slight increase in power demand. The heat is hitting us in the customer's business, where we get extreme volatile wholesale prices, which we need to pass on to our customers. That needs to be managed. It is hitting us in the network business as well, particularly in countries like Hungary and Romania, where we have investments and we are involved in managing the scarcity. But operationally, it is not hitting us direct. I mean, we do not have to stop parts of the system. The stress on the system remains the same.

Speaker #1: The heat is hitting us in the customer’s business, where we get extremely volatile wholesale prices, which we need to pass on to our customers.

Speaker #1: So that's need to be managed. And it's hitting us in the network business as well, particularly in countries like Hungary and Romania, where we have investments and we are involved in managing this scarcity. But operationally, it's not hitting us directly. I mean, we do not have to, well, stop parts of the system.

Speaker #1: The stress on the system remains the same. In principle, we have so far managed to keep the implications under control, the effects under control, and supply to the customers will continue to be ensured, in all probability—particularly in markets where things are critical.

Christoph Steitz: In principle, we have so far managed to keep the implications under control, the effects under control, and supply to the customers will continue to be ensured in all probability, particularly in markets where things are critical. I have already mentioned Southeastern Europe. Thanks, Ms. Brendel. Next, Christoph Steitz from Reuters. Good morning, Mr. Steitz. Sorry. Hello from Frankfurt. I have got two questions as well. I would like to come back to the heat topic. You said that the stress on the networks remains the same. Still, when it comes to this particular topic, there are a number of stress factors that have an impact on the network. Maybe you can explain why in network management, it does not seem to make a difference. I think it is placing more demand on the management of network assets.

Speaker #1: I've already mentioned Southeastern Europe. Thanks, Ms. Brandel. Next, Christoph Steitz from Reuters. Good morning, Mr. Steitz.

Speaker #3: Oh, sorry. Yes.

Speaker #1: Yeah. Hello from Frankfurt. I've got two questions as well. I'd like to come back to the heat topic. You said that the stress on the networks remains the same.

Speaker #1: But still, when it comes to this particular topic, there are a number of stress factors that have an impact on the network. But you can explain why, in network management, it doesn't seem to make a difference.

Speaker #1: I think it's placing more demand on the management of network assets. In Europe, we have a highly integrated network, with connections to other countries, and we're seeing what's happening in France at the moment.

Leonhard Birnbaum: In Europe, we have a highly integrated network, also connections to other countries, and we are seeing what is happening in France at the moment. Maybe you can provide a little more clarity there for us why you are not affected that much at the moment. My second question is, can you explain once again, in H1 of this year, in Energy Infrastructure Solutions, your business did pretty well. Maybe you can explain what exactly went so well in Germany. Is it the demand of large industrial customers or municipal utilities? Maybe you can enlarge on that. That would be very helpful. Thank you. Okay, let me start with the heat, and I will give the rest to Mr. Kobir. Well, heat. Okay. There are many reports being aired at the moment, so let me try and slice that information.

Speaker #1: Maybe you can provide a little more clarity there for us—why you are not affected that much at the moment? And my second question is, can you explain once again, I mean, in the first half of this year, in Energy Infrastructure Solutions, your business did pretty well.

Speaker #1: Maybe you can explain what exactly went so well in Germany? Is it the demand from large industrial customers or municipal utilities? Maybe you can elaborate on that.

Speaker #1: That would be very helpful, thank you. Okay, let me start with the heat, and I'll give the rest to Mr. Jakobi. Well, heat—okay.

Speaker #1: There are many reports being aired at the moment, so let me try and slice that information. Well, the nuclear power plants being shut down, or their output being reduced, is mentioned a lot.

Leonhard Birnbaum: Well, the nuclear power plants being shut down or its output being reduced is mentioned a lot. French nuclear power plants have reduced their output, and the Paks in Hungary and Cernavodă in Romania have reduced their output. Yesterday, I do not know what the situation is today, but yesterday, France is producing less in their individual facilities, so they have reduced their output. But in total, they were still exporting energy yesterday. From a nuclear perspective, there is less nuclear energy, but France is not seeing that problem. But the European market is getting less energy because they are exporting less. So nuclear is stabilizing the system, but not helping as much as that energy normally does. That is nuclear. Now, if we go into Eastern Europe, it is less a question about nuclear, but market integration.

Speaker #1: French nuclear power plants have reduced their output, and the plants in Hungary, Germany, and Romania have also reduced their output. Yesterday—I don't know what the situation is today—but yesterday, France was producing less at the individual facilities.

Speaker #1: So they have reduced their output, but in total, they were still exporting energy yesterday. So, from a nuclear perspective, there is less nuclear energy, but France is not seeing that problem.

Speaker #1: But the European market is getting less energy because they're exporting less. So nuclear is stabilizing the system, but not helping as much as that energy normally does.

Speaker #1: So, that's nuclear. Now, if we go into Eastern Europe, it's less a question about nuclear, but more about market integration. The Paks power plant, the nuclear power plant in Hungary, is too big for that small market.

Leonhard Birnbaum: The Paks power plant, the nuclear power plant in Hungary, is too big for that small market. If such a large power plant then fails, the small market has a problem. I could put it the other way around. Let's assume Paks was a large solar power plant, then Hungary would have a problem when there's no sun. The market is too small for such a large power plant and therefore needs to be integrated more into Europe. The problem of the Eastern European markets is that the network connections are too weak. If we're looking for solutions going forward, nuclear is still a part of the solution, not in Germany, but in other countries. It's a significant part of the solution if we provide better integration for more connections.

Speaker #1: And if such a large power plant then fails, then this small market has a problem. I could put it the other way around. Let's assume a patch was a large, solar-fired power plant.

Speaker #1: Then Hungary would have a problem when there's no sun. The market is too small for such a large power plant, and therefore needs to be integrated more into Europe.

Speaker #1: The problem of the Eastern European markets is that the network connections are too weak. So, if we're looking for solutions going forward, nuclear is still a part of the solution—not in Germany, but in other countries.

Speaker #1: And it's a significant part of the solution if we provide better integration for more markets, for more connections. And that's always important. Also, with regard to the development of renewables—because for the renewables, which are also part of the solution—a more integrated network helps with storage and flexibility, and to improve overall energy supply.

Leonhard Birnbaum: That's always important also with regard to the development of renewables, because for the renewables, which are also part of the solution, a more integrated network helps with storage and flexibility and to improve overall energy supply. What is also true in principle is that, of course, in the summer, and particularly in a phase like these conventional power plants that require cooling water have a problem. That doesn't mean that we do not need such a reserve. On the contrary, renewables are not available at all times, and therefore, we believe that an integrated system, highly integrated system that offers all of these components, flexibility, batteries, storage, conventional power, and renewables, this is what Europe really needs and ensures affordable energy for Europe. Last comment on networks. Our network revenues do not depend at the end of the day.

Speaker #1: What is also true in principle is that, of course, in the summer, and particularly in phases like these, conventional power plants that require cooling water have a problem. But that doesn't mean that we do not need such a reserve.

Speaker #1: On the contrary, renewables are not available at all times and therefore we believe that an integrated system, highly integrated system, that offers all of these components, flexibility, batteries, storage, conventional power, and renewables, this is what Europe really needs and ensures affordable energy for Europe.

Speaker #1: So, last comment on networks: our network revenues, at the end of the day, do not depend on volumes. They depend on the regulated return. So regardless of these dry periods—and on the ICE side—we have two positive effects.

Antje Boettner: They depend on the regulated return, so regardless of these dry periods. On the EIS side, we have two positive effects. We have new customer connections, which we conditioned in Germany and in Aschaffenburg, but we're also seeing positive effects, the Coromatic data center business in Sweden, and the delay we've seen in our heat business has given us the opportunity to pass on the material prices this year. This has had another positive effect compared with last year, both in our Nordic business segment and also in Germany. Thank you, Mr. Steitz. Next on the list is Ms. Boettner from dpa. Good morning. I hope you can hear me. Yes, we can hear you very well and also see you. I've got two questions.

Speaker #1: We have new customer connections, which we commissioned in Germany and in our Schaffenburg site, but we're also seeing positive effects in the chromatic data center business in Sweden. The delay we've seen in our heat business has given us the opportunity to pass on the material prices this year.

Speaker #1: And this has had another positive effect compared with last year, both in our Nordic business segment and also in Germany. Thank you, Mr. Steitz.

Speaker #1: Next on the list is Ms. Bautner from DPA. Good morning. I hope you can hear me. Yes, we can hear you very well and also see you.

Speaker #1: I've got two questions. First, after colleagues have already asked about the heat situation, I would like to look at it from another perspective.

Leonhard Birnbaum: One, after the colleagues have already asked about the heat situation, I would like to look at it from another perspective, the low water levels. What's the situation there when it comes to the supply of components or whatever? Is that secure? Are you affected? Do you have to shift to transportation on the roads? Maybe transformers, for example. The second topic is drones. A lot is being said about that at the moment as well. Do you believe your sites are properly protected, or would you want more support from policymakers as far as the threat situation is concerned? Well, logistic for the components we need, we use rail and trucks. Ships are not so relevant for us.

Speaker #1: Regarding the low water levels, what's the situation there when it comes to the supply of components or whatever? Is that secure? Are you affected? Do you have to shift to transportation on the roads?

Speaker #1: Maybe transformers, for example. And the second topic is drones. A lot is being said about that at the moment as well. Do you believe your sites are properly protected, or would you want more support from policymakers as far as the threat situation is concerned?

Speaker #1: Well, logistics for the components we need, we use rail and trucks. Ships are not so relevant for us. Of course, we will see indirect effects.

Leonhard Birnbaum: Of course, we will see indirect effects if the logistic rates, the freight rates go up because lorries become more scarce and more expensive, then that will have an effect as well. But that is an indirect effect only, and it is not a main cost driver for us. So, we believe that the effect for us will be relatively small. If you compare that to a chemical site along the river Rhine, they are affected in a totally different way than we are. Now, drones. That is a difficult question, of course. The answer is, of course, we cannot say that we are sufficiently protected. In Germany, we are unable at the moment to secure airports, the big, small airports we have. How could I then tell you that many of our hundred distributed grid points are fully under control? That is not the case, of course.

Speaker #1: If the logistics freights, the freight rates go up because lorries become more scarce and more expensive, then that will even affect as well. But that's an indirect effect only.

Speaker #1: And it's not a main cost driver for us, so we believe that the effect for us will be relatively small. If you compare that to the chemical side, along the river line, they are affected in a totally different way than we are now.

Speaker #1: Drones, that's a difficult question. Of course, the answer is, of course, we cannot say that we are sufficiently protected in Germany. We are unable at the moment to secure airports—the big, small airports we have. How could I then tell you that many of our 100 distributed grid points are fully under control?

Speaker #1: That's not the case, of course. Germany, Europe, needs to do more across the board. We are in the process of improving the physical security of our sites, also as part of the CRETIS legislation.

Leonhard Birnbaum: Germany, Europe needs to do more across the board. We are in the process of improving the physical security of our sites, also as part of the KRITIS legislation, and we have had initiatives ongoing for years. But when it comes to drones, we need to say that progress is so fast here and so huge that, well, we simply need to say full 100% protection against drone attacks cannot be guaranteed. What we need to guarantee and what we need to prepare for is being able to restore the supply after what might be a successful attack. So full protection is an illusion, I think. We can ensure that attacks are not simple, but we cannot ensure that it is impossible to attack us. This is a job for us, we need to deal with.

Speaker #1: And we have had initiatives ongoing for years, but when it comes to drones, we need to say that progress is so fast here and so huge that, well, we simply need to say full 100% protection against drone attacks cannot be guaranteed. What we need to guarantee and what we need to prepare for is being able to restore the supply after what might be a successful attack.

Speaker #1: So full protection is an illusion, I think. We can show that attacks are not simple, but we cannot ensure that it is impossible to attack us.

Speaker #1: This is a job for us. We need to deal with this. This is for the transmission system operators and E.ON to deal with, because the high voltage grid is most attractive for attackers, but that's where the interesting assets are.

[Company Representative] (E.ON): This is for the transmission system operators and E.ON to deal with, because the high voltage grid is most attractive for attackers, but that is where the interesting assets are. Work is not becoming any easier, and it is not becoming boring either. Ms. Wagner, thank you very much. At the moment, we do not have any further questions in the chat. Therefore, again, my question to you, is there anything else? Are there any further questions? Mr. Theiß is coming back.

Speaker #1: Work is not becoming any easier, and it's not becoming boring, either. Ms. Wagner, thank you very much. At the moment, we do not have any further questions.

Speaker #1: In the chat, therefore, again, my question to you is: Is there anything else? Are there any further questions? Mr. Steitz is coming back.

Speaker #2: Mr. Steitz, thank you very much. I have a short question concerning the business in Romania. The sale did not materialize, unfortunately, but you apparently had the intention to dispose of the business.

Carsten Theiß: Mr. Theiß, thank you very much. I have a short question concerning the business in Romania. The sale did not materialize, unfortunately, but you apparently had the intention to dispose of the business. Do you see any options in the future, or are you keeping the business after the transaction failed, although you no longer want to keep the business? Could you put that in perspective, please?

Speaker #2: Do you see any options in the future, or are you keeping the business after the transaction failed, although you know you'll have to watch a lot longer if you keep the business?

Speaker #2: Could you put that in perspective, please? We don't really want to speculate on M&A, but the business says that we have operated decently as long as we have them.

Leonhard Birnbaum: We don't really want to speculate on M&A. The businesses that we have are operated decently as long as we have them, and we didn't say that it's not an attractive business. We had a more attractive offer that we pursued, which unfortunately didn't materialize, and that's why we currently cannot really comment on this further. At the beginning of the year, we only mentioned that the disposal process was interrupted.

Speaker #2: And we didn't say that it's not an attractive business. We had a more attractive offer that we pursued, which unfortunately didn't materialize, and that's why we currently cannot really comment on this.

Speaker #2: Further, at the beginning of the year, we only mentioned that the disposal process was interrupted. Mr. Jensen from FAZ, what you just mentioned, Mr. Birnbaum, concerning drones was very interesting.

Helmut Jansen: Mr. Jensen from FAZ. What you just mentioned, Mr. Birnbaum, concerning drones was very interesting. It's clear that each and every line cannot be protected. Could you please explain, without this being too detailed, what you have in terms of defense and what over the past few years, have you been setting up task forces over the past few years in order to protect your equipment? Have you built up technological expertise? A power plant can be protected by a drone protection zone by a GPS network, but for a line, I don't know if this is possible. How can you protect your lines, even if you have the good intentions to do so?

Speaker #2: It's clear that each and every line cannot be protected. But could you please explain, without this being too detailed, what you have in terms of defense and what, over the past few years, you have been setting up—task forces, over the past few years—in order to protect your equipment?

Speaker #2: Have you built up technological expertise? A power plant can be protected by a drone protection zone via a GPS network, but for a line, I don't know if this is possible.

Speaker #2: How can you protect your lines, even if you have the good intentions to do so? Well, the protection of the airspace is something that the government has to ensure.

Leonhard Birnbaum: Well, the protection of the airspace is something that the government has to ensure. We cannot ensure drone-free Germany. Our networks are located everywhere. Of course, the threat situation is rising, and there is a greater awareness of this being a topic that we have to deal with. There is also, the industry, the politicians, and the energy suppliers have closed ranks. We are working on this topic. We have drone centers. We have teams of specialists that are being set up, and that's the right beginning. What we need, in my opinion, is a system that works realistically. I, as a private person, feel that we need a system that is integrated, that over airports it will be the police, but beyond the airports, it will be the military. We would be in charge of our equipment until the fence of the substation.

Speaker #2: We cannot ensure a drone-free Germany. Our networks are located everywhere. Of course, the threat situation is rising, and there is a greater awareness of this being a topic that we have to deal with.

Speaker #2: And there is also a—well, the industry, the politicians, and the energy suppliers have closed ranks. We're working on this topic; we have drone centers, we have teams of specialists that are being set up, and that's the right beginning.

Speaker #2: What we need, in my opinion, is a system that works realistically. I, as a private person, feel that we need a system that is integrated—that over airports, it will be the police, but beyond the airports, it will be the military.

Speaker #2: We would be in charge of our equipment until the fence of the substation. These are things that we will have to develop over time.

Leonhard Birnbaum: These are things that we will have to develop over time, and I do hope that at some stage, the awareness of the problem will exist. What happened in Leipzig was a wake-up call. We systematically survey our-

Speaker #2: And I do hope that, at some stage, awareness of the problem will exist, and what happened in Leipzig was a wake-up call. We systematically survey our critical infrastructure on a regular basis, and now we have to respond to what has been happening.

Leonhard Birnbaum: critical infrastructure on a regular basis, and now we have to respond to what has been happening. But it's a government task. We will make our contribution to this government task, but we cannot replace things or do what the government cannot ensure. Thank you very much, Mr. Janssen. Another question from Julia Becker from Funke Mediengruppe. Good morning, Ms. Becker. I'm from WAZ, a question concerning your subsidiary, Westnetz. Two years ago, you had a problem in customer service after an IT change. What are you doing for customers, or what are you optimizing in the area of customer service? Well, let me put this in perspective. You said it accurately. We had a major change in the IT system, and I had already mentioned that in my speech or in an earlier answer. We have to prepare our systems or have to upgrade our billing systems.

Speaker #2: But it's a government task. We will make our contribution to this government task, but we cannot replace things or do what the government cannot ensure.

Speaker #2: Thank you very much, Mr. Jensen. Another question from Yulia Koch from Funke Media. Good morning, Ms. Koch. I'm from WAZ. A question concerning your subsidiary, Vestnet.

Speaker #2: Two years ago, you had a problem in customer service after an IT change. What are you doing for customers now, or what are you optimizing in the area of customer service?

Speaker #2: Well, let me put this in perspective. You said it accurately. We had a major change in the IT system, and I had already mentioned that in my speech or in an earlier answer.

Speaker #2: We have to prepare our systems, or we have to upgrade our billing systems. We now have increased the number of entities feeding electricity into the grid from two to three million. PV systems are being integrated.

Nadia Jakobi: We now have increased the number of entities feeding electricity into the grid from 2 to 3 million PV systems are being integrated. Everything needs to be steered and controlled. The measured values have increased exponentially, and with the smart meter rollout, we've been able to cope with this. But with the old IT system, we were not able to do billing. In the whole of Germany, billing systems were changed. Westnetz was a pilot company in this case, and we learned from the pilot because something failed, and that was in the area of existing systems that were being processed and changed. During the migration, we had loopholes. This had to be repaired manually, but 10 thousands of values had to be done manually. 1 percentage point didn't work, and that led to the problems, but it would have not been an alternative not to do it.

Speaker #2: Everything needs to be steered and controlled. The measured values have increased exponentially, and with the smart meter rollout, we've been able to cope with this. But with the old IT system, we were not able to do billing in the whole of Germany.

Speaker #2: Billing systems were changed. Vestnet was the pilot company in this case, and we learned from the pilot because something failed, and that was in the area of existing systems that were being processed.

Speaker #2: And during the migration, we had loopholes. These had to be repaired manually, but 10,000 values had to be handled manually. 1% point didn't work, and that led to the problems.

Speaker #2: But it wouldn't have been an alternative not to do it. The rollouts in the other companies went comparatively well. We didn't have the same problems as in Vestnet.

Nadia Jakobi: The rollouts in the other companies went comparatively well. We didn't have the same problems as in Westnetz. We've identified the problems. We have identified groups of problems that we are working on with special task forces and teams that are working on these topics. Together with the Federal Network Agency, we're looking at the problem and how things are developing so that we can solve the problem quickly. For the customers, we have interim solutions, which made it possible that down payments are made so that they do not have to wait until the complex processes have been completed. In addition, we have teams for special complex situations. So we're doing everything in order to make sure that the customers are not put at a financial disadvantage, that the processes can be completed, and that we will learn our lessons for the future.

Speaker #2: We've identified the problems. We have identified groups of problems that we are working on, with special task forces and teams that are working on these topics.

Speaker #2: And together with the Federal Network Agency, we're looking at the problem and how things are developing so that we can solve the problem quickly.

Speaker #2: And for the customers, we have interim solutions which made it possible for down payments to be made, so that they do not have to wait until the complex processes have been completed.

Speaker #2: In addition, we have teams for particularly complex situations. So, we're doing everything in order to make sure that the customers are not put at a financial disadvantage, that the processes can be completed, and that we will learn our lessons for the future.

Speaker #2: But I would like to summarize that this is not our aspiration. Of course, we do not want our customers to feel any negative impact, and we truly deplore that this was the case.

[Company Representative] (E.ON): I would like to summarize that this is not our aspiration. Of course, we do not want our customers to feel any negative impact, and we truly deplore that this was the case and that the customers were affected. Thank you very much. We don't have any further requests for the floor in the chat. I would now like to close the Q&A session, would like to thank you warmly for participating. Thank you very much to the journalists in the call and to the audience in the live stream, and thank you very much to Leo and Nadia. Thank you very much, and all the best from Essen.

Speaker #2: And that the customers were affected. Thank you very much. We don't have any further requests for the floor in the chat. I would now like to close the Q&A session.

Speaker #2: We would like to thank you warmly for participating. Thank you very much to the journalists on the call and to the audience on the live stream.

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Q2 2026 E.ON SE Earnings Call - Press Conference

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