Spanish multinational electricity company Endesa recorded a consolidated net profit of €1.041bn ($1.21bn) during the first half (H1) of 2025 - a 30% rise from the same period of 2024.
The company's earnings before interest, tax, depreciation and amortisation reached €2.711bn, marking a 12% increase from the previous year.
Endesa also reported free cash flow of €2.4bn ($2.7bn), which doubled year-on-year.
This performance is largely attributed to the absence of extraordinary items that impacted results in 2024 and robust performances from its liberalised generation and supply businesses.
This performance follows the blackout in Spain on 28 April 2025, which has led to volatility in the pricing environment and increased final customer prices.
Ancillary services now average €20 out of a total average price of €60. Ancillary services in the first quarter of 2025 were €15, while the average for 2024 was €12.
Endesa has reassured stakeholders that all its power plants were fully operational according to system operator dispatch orders on the day of the blackout.
The first half of 2025 has validated the structural growth trend in access and connection requests to the distribution network that commenced in 2021.
The growth observed on Endesa's network was exponential, with annual increases of 183%, 102% and 119% in 2022, 2023 and 2024 respectively, culminating in 26GW in 2024.
The projection for this year anticipates reaching 29GW - a 12% increase.
Electricity demand within Endesa's distribution areas showed signs of recovery with a year-on-year increase in adjusted terms of 2.9% during H1, higher than Peninsular Spain’s overall rate at 2.2%.
Consumption across residential, industrial and service sectors grew significantly, with residential use spiking due to June 2025’s high temperatures.
In terms of operations and other financial metrics, liberalised sales volumes remained stable at 35 terawatt hours (TWh), including 22TWh from emission-free sources such as wind, solar, hydroelectric and nuclear power.
Liberalised power business margins stood at €53 per megawatt hour (MWh) - a 9% decrease.
Endesa also expressed concerns over the National Commission of Markets and Competition’s (CNMC) proposed remuneration rates for distribution networks between 2026 and 2031.
The suggested financial rate of return is uneven when compared to other sectors and neighbouring countries, which also restricts investment.
Endesa CEO José Bogas stated: “This proposal seriously jeopardises achieving the level of investment that Spain needs to meet its decarbonisation, demand electrification and network investment objectives as set out in the NECP, as well as being misaligned with the government's energy policy guidelines.”
In March 2025, Masdar was reported to be engaged in advanced negotiations to acquire a 49.9% stake in a solar portfolio from Spain's Endesa for $200m.
This transaction, which centres around a 450MW portfolio, is part of Masdar's strategy to enhance its presence in Europe, with a particular focus on Spain.
