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Results presentation First quarter 30 April 2025
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 2 Legal Notice DISCLAIMER This document has been prepared by Iberdrola, S.A. exclusively for use during the presentation of financial results of the first quarter of the 2025 fiscal year. As a consequence thereof, this document may not be disclosed or published, nor used by any other person or entity, for any other reason without the express and prior written consent of Iberdrola, S.A. Iberdrola, S.A. does not assume liability for this document if it is used with a purpose other than the above. The information and any opinions or statements made in this document have not been verified by independent third parties; therefore, no express or implied warranty is made as to the impartiality, accuracy, completeness or correctness of the information or the opinions or statements expressed herein. Neither Iberdrola, S.A. nor its subsidiaries or other companies of the Iberdrola Group or its affiliates assume liability of any kind, whether for negligence or any other reason, for any damage or loss arising from any use of this document or its contents. Neither this document nor any part of it constitutes a contract, nor may it be used for incorporation into or construction of any contract or agreement. Information in this document about the price at which securities issued by Iberdrola, S.A. have been bought or sold in the past or about the yield on securities issued by Iberdrola, S.A. cannot be relied upon as a guide to future performance. In particular, statements about historical performance must not be construed as suggesting that future performance, share price or results (including earnings per share) will necessarily be the same or higher than in a previous period. Nothing in this document should be taken as a profit and loss forecast. Discrepancies are possible due to rounding. IMPORTANT INFORMATION This document does not constitute an offer or invitation to purchase or subscribe shares, in accordance with the provisions of Regulation (EU) 2017/1129 of the European Parliament and of the Council, of 14 June 2017, on the prospectus to be published when securities are offered to the public or admitted to trading on a regulated market, and repealing Directive 2003/71/EC, and its implementing regulations. In addition, this document does not constitute an offer of purchase, sale or exchange, nor a request for an offer of purchase, sale or exchange of securities, nor a request for any vote or approval in any other jurisdiction. The shares of Iberdrola, S.A. may not be offered or sold in the United States of America except pursuant to an effective registration statement under the Securities Act of 1933 or pursuant to a valid exemption from registration. The shares of Iberdrola, S.A. may not be offered or sold in Brazil except under the registration of Iberdrola, S.A. as a foreign issuer of listed securities, and a registration of a public offering of depositary receipts of its shares, pursuant to the Capital Markets Act of 1976 (Federal Law No. 6,385 of December 7, 1976, as further amended), or pursuant to a valid exemption from registration of the offering. This document and the information presented herein was prepared by Iberdrola, S.A. solely with respect to the consolidated financial results of Iberdrola, S.A. and was prepared and is presented in accordance with the International Financial Reporting Standards adopted by the European Union (“IFRS”). This document does not contain, and the information presented herein does not constitute, an earnings release or statement of earnings of Neoenergia S.A. (“Neoenergia”) or Neoenergia's financial results. Neither Neoenergia nor its subsidiaries assume responsibility for the information presented herein. For information regarding Neoenergia’s financial results for the first quarter of the 2025 fiscal year, please see the press release Neoenergia issued on 29th of April, 2025, which is available on its investor relations website at https://ri.neoenergia.com/ and on the Brazilian Securities and Exchange Commission (Comissão de Valores Mobiliários, CVM) website at www.cvm.gov.br.
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 3 Legal Notice FORWARD-LOOKING STATEMENTS This communication contains forward-looking information and statements about Iberdrola, S.A., including financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with respect to future operations, capital expenditures, synergies, products and services, and statements regarding future performance. Forward-looking statements are statements that are not historical facts and are generally identified by the words “expects,” “anticipates,” “believes,” “intends,” “estimates” and similar expressions. Although Iberdrola, S.A. believes that the expectations reflected in such forward-looking statements are reasonable, investors and holders of Iberdrola, S.A. shares are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond the control of Iberdrola, S.A., that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include those discussed or identified in the documents sent by Iberdrola, S.A. to the Spanish Comisión Nacional del Mercado de Valores, which are accessible to the public. Forward-looking statements are not guarantees of future performance. They have not been reviewed by the auditors of Iberdrola, S.A. You are cautioned not to place undue reliance on the forward-looking statements, which speak only as of the date they were made. All subsequent oral or written forward-looking statements attributable to Iberdrola, S.A. or any of its members, directors, officers, employees or any persons acting on its behalf are expressly qualified in their entirety by the cautionary statement above. All forward-looking statements included herein are based on information available to Iberdrola, S.A. on the date hereof. Except as required by applicable law, Iberdrola, S.A. does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Iberdrola, S.A. commits to carrying out its best efforts to achieve its ambition of carbon neutrality for its Scope 1 and 2 in 2030. For these purposes, it will align its strategy, investments, operations and public positioning with this ambition. Additionally, Iberdrola, S.A. is also committed to undertake the energy transition in a way that creates value for its shareholders, employees, clients, suppliers and the communities where it operates. Accordingly, Iberdrola, S.A. reserves the capacity to adapt its planning to successfully face its performance in key material aspects such as the value of Iberdrola, S.A., the quality of supply or the social, labor, and fair transition conditions. The abovementioned commitments are of aspirational nature. ALTERNATIVE PERFORMANCE MEASURES In addition to the financial information prepared under IFRS, this presentation includes certain alternative performance measures (“APMs”) for the purposes of Commission Delegated Regulation (EU) 2019/979, of March 14, 2019 and as defined in the Guidelines on Alternative Performance Measures issued by the European Securities and Markets Authority on 5 October 2015 (ESMA/2015/1415es). The APMs are performance measures that have been calculated using the financial information from Iberdrola, S.A. and the companies within its group, but that are not defined or detailed in the applicable financial information framework. These APMs are being used to allow for a better understanding of the financial performance of Iberdrola, S.A., but should be considered only as additional information and in no case as a substitute of the financial information prepared under IFRS. Moreover, the way Iberdrola, S.A. defines and calculates these APMs may differ from the way these are calculated by other companies that use similar measures, and therefore they may not be comparable. Finally, please consider that certain of the APMs used in this presentation have not been audited. Please refer to this presentation and to the corporate website (www.iberdrola.com) for further details of these matters, including their definition or a reconciliation between any applicable management indicators and the financial data presented in the consolidated financial statements prepared under IFRS. In particular, please refer to https://www.iberdrola.com/documents/20125/5119580/alternative-performance-measures-25Q1.pdf.
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 4 Highlights of the period
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 5 Highlights of the period Reported Net Profit of Eur 2,004 M and Reported EBITDA of Eur 4,643 M Excluding thermal generation divestment in Q1 ’24, Net Profit grows +26% and EBITDA up +12% 1. Excluding capital gain from thermal generation asset divestment in Q1 ‘24 EBITDA up +12%1 to Eur 4,643 M • Increasing regulated profile: Networks contributes 52% to EBITDA in Q1 ’25 • Higher production in the US, IEI & Iberia, partially offsetting margin normalization in UK & Iberia Strong Operating Performance Growth based on Networks and selective in Renewables, focused on US & UK (2/3 of investments) • Organic investments up +14% to Eur 2,720 M ▷ Networks up +18%, already representing 53% of total Investments ▷ Renewables up+7%, with 1/2 allocated to Offshore wind mostly in projects with COD in 2025/26 • Closing of Electricity North West transaction: Increasing UK regulatory asset base to Eur 15.5 Bn Securing growth Cash flow up +11% to Eur 3,502 M • Financial ratios in line with BBB+ rating after consolidation of ENW • Asset rotation in line with our plan Financial strength
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 6 Business highlightsEBITDA by geography EBITDA EBITDA up +12%1 to Eur 4,643 M… Networks, largest contributor to EBITDA (52%) Higher regulated asset base Past costs recognition in the US New installed capacity: 2,600 MW installed in the last 12 months (660 MW offshore wind) Margin normalization in UK and Iberia 4 TWh per annum of new PPAs signed in the last 12 months Iberia 4,643 Eur M Other EU & Australia LATAM UK US 32% 27% 16% 5% …driven by strong operating performance in Networks 20% 1. Excluding capital gain from thermal generation asset divestment in Q1 ‘24 Higher production in the US, IEI & Iberia 83% in A-rated countries
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 7 Networks Organic Investments (Eur M) Growth in Networks: Investments …with more than 2/3 in the UK & US Q1 2024 Q1 2025 ▷ RIIO-ED2 Reopener: More than Eur 200 M of additional investments to reinforce security and increasing RAB (including ENW) ▷ RIIO-T3: On track to receive Ofgem Draft Determination by mid-year (June/July ‘25) UK Networks organic investments up +18% to Eur 1,432 M… 41% Key milestones & updates 59% 1,213 1,432 US Brazil ▷ New Rate Case in Pernambuco and Rates adjustments in Bahía & Rio Grande do Norte with a combined annual EBITDA increase of more than 100 M Eur ▷ Eur 241 M invested in Transmission, mainly in NECEC with COD expected by year-end ▷ Eur 296 M in Distribution, 78% in NY +18% Distribution Transmission
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 8 Growth in Networks: Regulated Asset Base …reaching 60% in the US & UK (Eur 30 Bn) RAB increases +14% driven by higher investments and closing of ENW… RAB evolution (Eur Bn) Q1 2024 ENW Q1 2025 3.4 Bn43 bn ~49 Bn+14% UK US Spain Brazil Organic growth 2.5 Bn 19% “Utility of the year” at 2024 Utility Week Awards 2025e >51 Bn UK US Spain Brazil 32% 28% 22% 18% 32% 28% 21% 19%
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 9 Growth in Renewables: Selective investment Renewable Investments up +7% to Eur 1,064 M, with 2/3 in UK & US Offshore wind 51% Solar PV 21% Onshore wind 28% 1,064 Eur M Renewable Investments (Eur M) Investments by technology (Eur M) Q1 2024 Q1 2025 1,064 994 +7% Iberia US UK LATAM Other EU & Aus 12% 37% 2/3 in UK and US 29% 21% 1% 85% of investment in new projects with PPAs or CfDs ▷ More than 80% in the US and UK ▷ Highly diversified among US, Iberia, Continental Europe and Australia UK and US: More than 80% ▷ East Anglia 2 & 3 ▷ Vineyard Wind 1 Germany: ▷ Windanker ▷ Baltic Eagle
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 10 Securing future growth: Supply chain management Minimum impact from new tariffs thanks to Iberdrola’s supply chain management: No impact in results… Iberdrola’s Supply Chain Management +>80% of purchases awarded to local suppliers 100% of strategic contracts for projects under construction secured + Networks: Onshore wind & Solar PV Offshore wind ~99% of local suppliers Regulated business: cost = passthrough <10% of total CAPEX for projects under construction Vineyard Wind 1 unaffected, 100% supply chain secured Impact of new tariffs in the US Maximum impact of 130 M USD in Capex NO IMPACT NO IMPACT …and <1% of 2025 planned investment, fully covered by standard contingencies and agreements with suppliers
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 11 Cash flow generation Increasing cash generation as large renewable projects enter in operation… 1 Including equity investment in Vineyard Wind One 2 Normalized 12 months EBITDA expected for the whole projects in full ramp-up. 3As of 31 march 2025, some projects are partially producing, with an estimated EBITDA of Eur 43 M in the first three months of the year. Projects under construction in Q1’251 New WIP in 2025-26 2026YE Eur ~8.5 Bn WIP Eur 4-5 Bn WIP 2026YE2025YE ~3.5 Eur Bn Renewable WIP reduced by 50% in 2026 2-3 Eur Bn …reducing WIP and increasing EBITDA… -50% 2025 2026 Adding Eur 1.6 Bn of EBITDA per annum from 2027 Annualized FY EBITDA2 ~850 M Eur p.a. ~750 M Eur p.a. Projects starting full operation in 2025-2026 ~3 Eur Bn New projects total capacity ~4,000 MW3 >3,000 MW
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 12 Cash flow generation … and investments are focused on Networks (Eur >13 Bn in 2025-26) immediately incorporated to RAB and mostly contributing from first year ▷ New concession regime include investments in RAB from day 1 ▷ Finalizing awarded Transmission lots ▷ Rate Case investments immediately included in RAB and generating cash flows ▷ NECEC project: fully contributing from 2026 >13 Eur Bn 2025-26 Network investments ~90% of ’25-26 investments producing cash from first year… UK ▷ Investments immediately included in RAB and generating cash flows US Brazil Spain ▷ Investments immediately included in RAB, with ongoing cash generation1 1 Following Spain’s regulatory regime, investments are rewarded on a n+2 basis:, backlog of last 2 years investments match new investments …increasing in the future: > share of US/UK investments and new concessions in Brazil
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 13 Financial Strength …with financial ratios in line with BBB+ after consolidation of ENW Cash flow up +11% to Eur 3.5 Bn … Q1 2024 Q1 2025 3,145 3,502 Cash Flow (Eur M) +11% 22.3%FFO/Adj. Net Debt1 Liquidity2 Eur 20.9 Bn covering 19 months of financing needs Financial Ratios & Liquidity 1. Adjusted for treasury stock derivatives with physical settlement which at the current date are not expected to be executed (Eur 1,388 M as of 2025 and Eur 995 M as of 2024) 2. Including 1.7 bn subsequent events signed to date
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 14 Analysis of results
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 15 Income Statement / Group Net income up 26%, excluding thermal generation asset divestment in Q1 2024… …underpins the underlying growth of the business Eur M Q1 2025 Q1 2024 % Q1 2024 adjusted1 % adjusted Revenues 12,864 12,678 +1.5 12,678 +1.5 Gross Margin 7,202 6,832 +5.4 6,832 +5.4 Net Operating Expenses -1,470 78 n/a -1,640 -10.4 Levies -1,089 -1,053 +3.4 -1,051 +3.5 EBITDA 4,643 5,857 -20.7 4,140 +12.2 EBIT 3,256 4,501 -27.7 2,783 +17.0 Net Financial Expenses -508 -524 -3.1 -524 -3.1 Equity Results 36 5 n/a 5 n/a Taxes -652 -1,069 -39.0 -517 +26.1 Minorities -127 -153 -16.5 -153 -16.5 Net Profit 2,004 2,760 -27.4 1,595 +25.7 1. Excluding thermal generation asset divestment in Q1 2024
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 16 Gross Margin / Group A 1% increase in Revenues and a 3% reduction in Procurements… … leads to a Gross Margin growth of 5% to Eur 7,202 M Procurements (Eur M)Revenues (Eur M) 12,678.5 12,864.7 Q1 2024 Q1 2025 5,846.7 5,663.1 Q1 2024 Q1 2025 -3% 1%
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 17 Net Operating Expenses / Group Excluding asset rotation Net Operating Expenses improves 10%, due to lower storm costs that also reduces Gross Margin Net Operating Expenses (Eur M) Net Personnel Expenses External Services Other Operating Income1 Total Net Operating Expenses Q1 2024 adjusted -776.5 -1,070.1 206.2 vs Q1 2024 adjusted (%) -0.4% -9.8% +30.4% -10.4% Q1 2025 -773.6 -965.3 268.8 -1,470.1 -1,640.4 Q1 2024 Reported -776.5 -1,087.4 1,942.3 78.5 1. Q1 2024 Reported Other Operating Income includes mainly Eur 1.7 Bn from thermal generation assets divestment Excluding these reconciliation effects, Net Operating Expenses improves 0.9%
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 18 Results by Business / Networks Spain United States United Kingdom Brazil 2,414.9 17% 25% 17% 42% …driven by better performance in UK and US due to higher asset base and past cost recognition Networks EBITDA reaches EUR 2,415 M, +43% vs. Q1 2024… Eur M
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 19 Results by Business / Networks EBITDA BRL 3,683.8 M (+12.6%): • Higher inflation in Distribution • Positive contribution from Transmission as construction of transmission lines progresses. EBITDA IFRS USD 1,054.5 M (n/a): • Higher tariffs and better contribution in transmission. • New decision from NY regulator that allows to register a regulatory asset regarding past costs (USD+550 M), already accrued and registered under US GAAP UNITED STATES BRAZIL EBITDA EUR 400.7 M (-1.0%): • Operating performance in line with last year. SPAIN EBITDA GBP 338.7 M (+10.8%): • Positive contribution due to ENW consolidation, effective since March (GBP +35 M). • Higher contribution in Distribution thanks to higher RAV that more than compensates negative contribution from Transmission (GBP -20 M) affected by Capital Allowance application UNITED KINGDOM
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 20 Energy Production and Customers EBITDA reaches Eur 2,228 M in Q1 2025 vs. Eur 2,438 M in Q1 2024 excluding divestment of thermal generation assets… Results by Business / Energy Production and Customers 2,227.7 Iberia United States United Kingdom Brazil 46% 2% 12% 23% RoW 10% Mexico 6% … reaching c. 89% emissions-free generation 2,438.0 Q1 2024 adjusted Q1 2024 reported 4,155.1 -9% 2,227.7 Q1 2025 1,717.1 Eur M Thermal divestment capital gain
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 21 Results by Business / Energy Production and Customers EBITDA GBP 425.7 M (-17.2%): • Lower wind resource both in onshore and offshore, partially compensated by lower Windfall tax(2) UNITED KINGDOM EBITDA EUR 1,034.9 M (-15.3%): • Higher production partially offsetting margin normalization • 3% of higher Levies despite 1.2% revenue tax termination • Record hydro reserves (~9 TWh(1)) IBERIA EBITDA USD 286.0 M (+35.5%): • Better wind and solar performance and timing effects drive strong EBITDA growth despite the positive effect of Q1 2024 one off related to Artic Blast storm. UNITED STATES 1. As of end of April 2. Electricity Generation Levy
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 22 Results by Business / Energy Production and Customers EBITDA USD 144.3 M (-92.9%); (-16.9% ex capital gain): • Lower contribution due to the deconsolidation of the assets sold on February 26th, 2024 MEXICO EBITDA EUR 229.2 M (+25.3%): • Higher offshore production (+76%) due to the higher contribution of offshore windfarms St. Brieuc (France) and Baltic Eagle (Germany) RoW MEXICO EBITDA BRL 253.8 M (-40.3%): • Lower thermal contribution of our only CCGT (Termope), compared to a strong Q1’ 24BRAZIL
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 23 D&A and provisions up 2% to Eur 1,387 M, driven by higher asset base partially compensated by lower depreciation thanks to FY 2024 adjustments (Eur 30 M) and lower bad debt provisions in Spain and UK EBIT grows 17% to Eur 3,256 M in Q1 2025 vs. Eur 2,783 M in Q1 2024, adjusting thermal divestment capital gain EBIT/ Group -1,717.1 D&A and Provisions (Eur M)EBIT (Eur M) 4,500.6 Q1 2024 reported -155 -92 Q1 2024 Q1 2025 -1,356.4 -1,387.0 Provisions D&A-1,202 -1,295 3,256.1 Q1 2025 Thermal divestment capital gain +2% 2,783.5 Q1 2024 adjusted 17%
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 24 -5 bp Net Financial Result improves Eur +16 M to Eur -508 M thanks to FX derivatives (Eur +71 M) and other (Eur +20 M) partially offset by higher average debt (Eur -73 M) Cost ex-NEO increases due to higher proportion of debt denominated in GBP Net Financial Result / Group COST OF DEBTNET FINANCIAL RESULT (Eur M) -508 Q1 2024 Q1 2025 +20 Other -524 4.98% 4.93% (ex NEO) 3.65% 3.68% Q1 2024 Q1 2025 +3 bp +71 FX derivatives Debt result: -75 Interest + FX -73 -2 Debt
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 25 Comfortable within rating agencies ratios for BBB+/Baa1 Higher FFO (+11%) compensating higher Net Debt due to ENW consolidation and called hybrid bond Financial ratios and Adjusted Net Debt / Group ADJUSTED CREDIT METRICS Adjusted Leverage FFO / Adjusted Net Debt1 Adjusted Net Debt1/ EBITDA 45.4% 22.9% 3.4x FY 2024 22.3% 3.5x 47.3% Q1 2025 NET DEBT EVOLUTION 51.7 FY 2024 Reported Net Debt 2.3 55.7 Q1 2025 Reported Net Debt 0.8 ENW Net Debt consolidation Hybrid Bond 0.9 Other2 Eur Bn 1. Adjusted for treasury stock derivatives with physical settlement which at the current date are not expected to be executed (Eur 1,388 M as of 2025 and Eur 995 M as of 2024) 2. Includes Net Debt natural increase
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 26 Q1 2025 Net Profit grows 26% to Eur 2,004 M adjusting thermal divestment capital gain Net Profit / Group Equity method includes Eur 25 M of two-month contribution from ENW Corporate Tax Net Profit Q1 2024 adjusted -517.2 vs Q1 2024 adjusted (%) +26.1% +25.7% Q1 2025 -652.2 2,004.4 1,594.5 Q1 2024 reported -1,069.1 2,759.7 Minorities -152.5 -16.5%-127.4 -152.5 Net Financial Expenses -3.1% -524.4-524.4-507.9 Equity Method 5.2 N/A35.8 5.2 Eur M EBIT +17.0%3,256.1 2,783.5 4,500.6
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 27 Conclusions
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 28 Conclusions: 2025 outlook Strong performance expected over the rest of the year INCREASING RESULTS… • Double-digit growth in RAB • Growing demand • Positive new rate cases • New ~4,000 MWs coming into full operation in 2025 • 100% of 2025 energy sold • Hydro reserves at record levels: 9 TWh Networks Energy Production & Customers …IMPROVING FFO & FINANCIAL STRUCTURE ✓ Accelerating Cash Flow Generation: ▪ Renewables: Lower WIP + more EBITDA as projects reach COD ▪ More Network investments contributing from first year ✓ Ongoing optimization of financial structure: ▪ Asset rotation ▪ Strong ratios and Liquidity at Eur 20.9 Bn
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 29 Conclusions: 2025 outlook Reaffirming 2025 Net Profit Guidance at “mid to high single-digit growth” even excluding positive impact of past cost recognition in US… 5,530 (Eur M) 2024 Adjusted Net Profit baseline 2025 Net Profit Guidance Double-Digit Past cost recognition in US1 …and reaching “Double-digit growth” including this impact 1 Decision from NY regulator that allows to register a regulatory asset under IFRS regarding past costs with a Net Profit impact of Eur 386 M Mid to high single-digit growth Guidance excludes capital gains from asset rotation
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 30 GLOBAL SCENARIO Conclusions: Long-term trends ELECTRIFICATION, A STRUCTURAL SOLUTION TO THE CURRENT MACRO AND ENERGY CHALLENGES • Global instability /uncertainty • Need to promote economic growth • Prioritizing investments in infrastructure • New global trade dynamics ELECTRIFICATION • Less exposure to fossil fuel volatility & geopolitical risks • More energy security/self-sufficiency • More competitiveness • Promoting local industry • Affordability and price stability through market mechanisms (PPAs, CFDs) MACRO ENERGY • Key for economic growth and social development • Focus on national energy autonomy Energy Security = National Security
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 31 Conclusions: Long-term trends IBERDROLA, OPTIMALLY POSITIONED ◆ Focus on regulated networks and selective investments in renewables ◆ Supply chain secured ◆ US and UK as key growth drivers with presence in Continental Europe, LATAM, Australia... ◆ Strategic scale and relevance: major player in regions where we operate ◆ Active financial management: Committed to BBB+/Baa1 ◆ Asset Rotation providing additional funds to invest SUSTAINED GROWTH IN RESULTS AND DIVIDENDS GEOGRAPHICAL DIVERSIFICATION FINANCIAL STRENGTHSTRATEGY & PROVEN TRACK-RECORD
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 32 Annex I “Iberdrola Retribución Flexible” program July 2025
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 33 30 May 24 June June 25, 26, 27 and 28 and July 1 July 2 July 3 July 4 July 17 July 28 July 30 July 24 General Shareholders Meeting: - Approval of 2024 final dividend payment - Approval of capital increases “Iberdrola Retribución Flexible” Closing prices considered for determining the average price used to calculate number of rights and final dividend amount - LAST TRADING DATE: last day to buy Iberdrola shares and participate in “Iberdrola Retribución Flexible” program and/or collect dividend in cash - BORME: announcement of capital increase - Last day of rights trading period and of the common election period - Delivery of shares - Payment of final dividen Commencement of trading of new shares - Calculation of the amount of the Capital Increase and Interim Dividend per share (before 12:00 noon) - ORI publication of number of rights per share and interim dividend per share - Beginning of the rights trading period and common election period - Ex date (“Iberdrola Retribución Flexible” and cash dividend) - Close of scrip issuance - ORI Trading period and common election period - Board of Directors: resolution for the execution of the capital increase and payment of the final dividend - ORI information document “Iberdrola Retribución Flexible” program July 2025
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 34 Annex II
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 35 Liquidity and maturities … with a stable maturity profile that results in average life of debt above 6 years As of today, liquidity remains strong above 20.9 Bn1 covering 19 months of financing needs … Credit lines 15,860 Available financing 2,903 Cash 2,142 1. Including 1.7 bn subsequent events signed to date 4,069 5,358 4,384 4,489 5,456 28,756 9m 2025 2026 2027 2028 2029 2030+ Maturities
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 36 Financial diversification Over Eur 3 Bn1 of new signed financing in different instruments and markets allows to deepen the diversification 100%2 of financing signed are sustainability transactions, retaining the rank of the world leading private group in green bonds issued NEW DEALS SIGNED Q1 2025: Eur 3,195 M1 SUSTAINABILITY PORTFOLIO: 70% of total 61% 39% Green Sustainability-linked 1. Including EUR 1.6 Bn subsequent events signed to date 2. Excluding USD 786 M in securitization bonds issued in February 2025 to recover AGR storm costs, recognized by the US regulator Bank Loan EUR 140 M Multilateral Loan EUR 308 M 3,195 Eur M USD Securitization EUR 729 M EUR Bonds EUR 400 M Development Bank Loan EUR 1,618 M
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 37 Green Bonds 22,751 Green Bank Loans 239 Multilateral Green Loans 5,664 Development Bank and ECA Green Loans 3,920 Sustainable Credit Lines 15,471 Green Structured Financing 4,050 Sustainable Bank Loans 1,865 Sustainable Commercial Paper 6,000 Sustainable financing NEW SUSTAINABILITY DEALS Q1 2025: Eur 2.5 Bn Eur 2.5 Bn raised in Q1 2025 correspond to new sustainability financing for a total portfolio of Eur 60 Bn in sustainability transactions Including 1.7 Bn sustainability subsequent events signed to date Product Q1 2025 Green 2,326 Senior bonds 400 Multilateral loans 308 Development bank loans 1.618 Sustainability-linked 140 Bank loans 140 Total 2,466 TOTAL SUSTAINABILITY PORTFOLIO: Eur 59,961 M
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 38 Diversified debt portfolio … with capacity for additional bank financing and new markets Our strategy of diversifying funding sources provides flexibility to tap the market … FINANCIAL SOURCES% DEBT BY INSTRUMENT Bond market • Main source of long-term financing • Strong capacity to access to largest markets in the world • Successful issuance in the equity-linked market, achieving significant savings after offsetting equity risk • Monitoring all markets to diversify in good conditions Multilateral and development banks • Long-term financing not subject to capital market volatility. • Solid links with traditional players (EIB, BNDES). • Expanding relationship with new entities (IFC, ECAs, NWF). Bank market • Diversified, strong pool including main players, adding new with banks from all our main in new geographies (Australia, Singapore). • Continue optimizing bank risk, with low exposure in outstanding debt, allowing to increase exposure in other instruments (credit, derivatives, letters of credit). EUR bonds 21,0% USD bonds 17,4% GBP bonds 7,7% BRL bonds 7,3%Other bonds 1,9% ECP 7,8% USCP 0,6% Multilateral 20,2% Structured 0,2% Leases 4,8% Bank loans and credits 11,0%
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www.iberdrola.com www.iberdrola.com Results presentation First quarter 2025 | 39 AAA rating in the MSCI ESG Ratings assessment Top 1% S&P Global CSA Score Included on CDP A list Iberdrola classified as Prime Leadership in Sustainability LEADING THE MAJOR SUSTAINABILITY RATINGS BOOSTING ELECTRICITY 47 gCO2/kWh emission intensity 89% emission-free production >100 million customers served 90% of Capex Aligned with EU Taxonomy 1Q 2025