Norwegian renewable energy producer Scatec recorded a 22% increase in proportionate revenues in the third quarter of 2025, reaching NOK2.95bn ($267mn), compared to NOK2.42bn ($219mn) a year earlier. Proportionate earnings before interest, taxes, depreciation and amortisation (EBITDA) amounted to NOK1.06bn ($96mn), affected by non-recurring impacts in the third quarter of 2024, including asset sales in South Africa and a one-time payment in the Philippines.
Backlog sees strong increase
Power production from Scatec’s plants reached 1,202 GWh, slightly down from 1,254 GWh recorded the previous year. Revenues from the power production segment reached NOK1.17bn ($106mn), while the associated EBITDA stood at NOK955mn ($86mn). The decline is attributed to the aforementioned base effects, notably an asset sale worth NOK383mn ($34mn) and a one-off payment of NOK60mn ($5.4mn) in the Philippines last year.
The Development & Construction segment tripled its revenues to NOK1.76bn ($159mn), supported by ongoing projects in Egypt, the Philippines, Brazil, Botswana, South Africa and Tunisia. Gross margin remained at the high end of guidance, at 11.4%.
Continued deleveraging strategy
As part of its deleveraging strategy, Scatec repaid NOK943mn ($85mn) in debt during the third quarter, reducing its gross corporate debt by 27% to NOK6.7bn ($606mn) since the initiative was launched one year ago. Net interest-bearing corporate debt now stands at NOK4.3bn ($389mn), supported by positive cash flow generation.
Consolidated revenues and other income totalled NOK1.08bn ($97mn), down from NOK2.96bn ($267mn) a year earlier, when significant asset disposals were recognised. Consolidated EBITDA reached NOK785mn ($71mn), with net profit limited to NOK5mn ($450,000), compared to NOK1.64bn ($148mn) the previous year.
Expansion in storage and updated roadmap
Scatec strengthened its presence in the Philippines by adding two Battery Energy Storage System (BESS) projects of 80 MW / 80 MWh to its portfolio. These facilities will be integrated with existing hydropower plants in Binga and Ambuklao. The total backlog now stands at a record 3,392 MW.
The company forecasts 2025 proportionate power production of 4.1 to 4.2 TWh and has raised its EBITDA guidance by NOK50mn ($4.5mn), setting the midpoint at NOK4.35bn ($393mn). The remaining contract value for projects under construction is NOK4.1bn ($370mn), with an expected gross margin between 10% and 12%.
2030 targets and portfolio optimisation
As part of its 2026–2030 strategic roadmap, Scatec aims for NOK1bn ($90mn) in average annual equity investments, a reduction of corporate debt to NOK4bn ($361mn), and NOK3.4bn ($307mn) in proceeds from asset sales. The strategy remains focused on self-funding, capital efficiency, and specialisation in solar photovoltaic and battery storage, while gradually building a wind portfolio.
