Italian group Enel, a major player in the energy sector in Italy, reported a net profit of €3.4bn ($3.70bn) for the first half, representing an 11% decrease compared to the same period last year. This reduction is mainly due to extraordinary transactions related to a plan to sell non-strategic assets initiated the previous year.
Revenue growth driven by market volatility
Enel stated that its revenue reached €40.8bn ($44.38bn), up 4.5% year-on-year. This increase is attributed to higher sales of raw materials on the wholesale market, in a context of higher average prices over the period. The group’s management noted that these results reflect the direct impact of market fluctuations on sector volumes and revenues.
The group’s net financial debt fell by 0.6% since the end of December, reaching €55.4bn ($60.24bn). This development results mainly from positive cash flows generated by operational management, allowing the group’s financial profile to be stabilised within a European market still exposed to tariff uncertainties.
Decline in electricity and natural gas sales
Enel’s electricity sales volume decreased by 7.8% compared to the first half of the previous year. This contraction is mainly explained by reduced sales in Peru and Italy, markets considered strategic for the Italian group.
Natural gas sales also fell by 14.6% over the same period, confirming an unfavourable trend in the gas business segment. This development reflects less dynamic demand in several of the group’s operational markets.
Enel’s Chief Executive Officer Flavio Cattaneo stated that the half-year results demonstrate the continuity of the strategy pursued since his arrival in 2023, while addressing the challenges associated with managing a diversified portfolio and price variability in international markets.
