Acciona H1 2025 presentation: EBITDA surges 57% as asset rotation strategy advances

Acciona SA reported robust H1 2025 results, with revenue up 5% to €9.23 billion, EBITDA surging 57% to €1.56 billion, and attributable net profit soaring 353% to €526 million, driven by strong operational performance and an active asset rotation strategy that has secured €2 billion in proceeds. The company is prioritizing deleveraging to protect its investment grade rating, targeting a net debt to EBITDA ratio of approximately 3.5x, and plans to reduce capex while placing 2 GW of new generation into service this year. Despite pausing some US battery energy storage projects due to market challenges, Acciona's diversified business model and strategic focus on portfolio optimization position it to navigate market conditions, supported by strong segment performance, particularly in ACCIONA Energía.

Analysis

Acciona SA reported exceptionally strong H1 2025 results, with attributable net profit soaring 353% to €526 million and EBITDA surging 57% to €1.56 billion on a 5% revenue increase to €9.23 billion. This robust performance was driven by both operational improvements (€1.11 billion of EBITDA) and a successful asset rotation strategy, which contributed €443 million and secured €2 billion in proceeds. The company also raised its full-year EBITDA guidance to €2.7-3 billion, a significant increase from previous guidance.

Despite an increase in net financial debt to €7.71 billion, Acciona prioritizes deleveraging to maintain its investment grade rating, targeting a net debt to EBITDA ratio of approximately 3.5x. This strategy is supported by ongoing asset rotation and a planned reduction in capex to €1.3 billion in 2025, further declining to €0.7 billion in 2026. Diversified segments, particularly ACCIONA Energía, delivered strong results, with its EBITDA up 117% and Infrastructure's backlog reaching a record €58 billion.

Acciona is actively adapting to market challenges, notably pausing 0.4 GW of US battery energy storage system (BESS) projects due to tariffs and new FEOC provisions impacting IRA tax credits. However, it maintains 1.4 GW of projects with safe harbor provisions, demonstrating a selective approach to investment. The company aims to place 2 GW of new generation into service this year, balancing growth with financial discipline amidst a reduced 2025 new capacity target of approximately 0.6 GW.

Key Decisions for Investors

• Investors should review current valuations against Acciona's significantly raised full-year EBITDA guidance and strong H1 2025 performance, considering potential upside from operational improvements and asset rotation.
• Monitor the company's deleveraging progress and net debt to EBITDA ratio, as successful execution is crucial for maintaining its investment grade rating and financial flexibility.
• Evaluate the long-term implications of the adjusted capex strategy and the selective pausing of US renewable energy projects, balancing these against the company's continued strategic growth in other areas and robust segment performance.