German utility RWE AG reported a substantial decline in its nine-month 2025 earnings, with net income falling to 2.30 billion euros from 5.28 billion euros and adjusted EBITDA dropping to 3.48 billion euros, primarily due to income normalization in its Flexible Generation segment and weaker trading. Despite this weaker performance, the company reaffirmed its fiscal 2025 adjusted net income guidance of 1.3 billion to 1.8 billion euros and adjusted EBITDA of 4.55 billion to 5.15 billion euros. RWE also announced a dividend increase to 1.20 euros per share for 2025 and confirmed its long-term earnings targets for 2030.
RWE AG reported a substantial decline in its nine-month 2025 earnings, with net income falling to €2.30 billion from €5.28 billion year-over-year, and adjusted EBITDA decreasing to €3.48 billion from €3.98 billion. This underperformance stemmed from income normalization in the Flexible Generation segment and a weaker trading business, despite a 6% increase in power generation to 87,936 GWh. External revenue also dropped significantly to €13.27 billion. Despite the weaker interim results, RWE reaffirmed its fiscal 2025 adjusted net income guidance of €1.3 billion to €1.8 billion and adjusted EBITDA of €4.55 billion to €5.15 billion. This implies a strong recovery is expected in the fourth quarter to meet these targets. The company also maintained its long-term adjusted net EPS targets of approximately €3 for 2027 and €4 for 2030. Further signaling confidence, RWE announced an increase in its 2025 dividend to €1.20 per share. This capital return commitment, alongside the reiterated long-term outlook, suggests management's belief in the company's strategic direction and future earnings potential, despite current period headwinds.
AI-powered research, real-time alerts, and portfolio analytics for institutional investors.
Request a DemoOverall Sentiment
mixed
Sentiment Score
0.10
Ticker Sentiment
