RWE achieved adjusted EBITDA of €883m in the first quarter of 2021, compared to €1324m in the same period in 2020.
The decline in earnings can be attributed to the extraordinary burdens incurred due to the worst cold snap in a century in Texas and the fact that wind volumes in Northern and Central Europe were well below the above-average high levels experienced in the previous year.
Adjusted EBITDA in the offshore wind segment was €297m for the first quarter, compared to €431m for the same period in the previous year.
A key factor here were wind volumes in Northern and Central Europe, which were well below the above average high levels of the previous year.
For the current year, RWE expects adjusted EBITDA of between €1050m and €1250m for this segment.
In the first three months of 2021, adjusted EBITDA in the onshore wind/solar segment showed a deficit of €119m.
In the previous year’s quarter, adjusted EBITDA amounted to €221m.
The main drivers here were the losses caused by extreme weather events in Texas, which totalled about €400m.
Additional burdens resulted from below-average wind conditions at onshore wind farm locations in Northern and Central Europe.
The capital gain from the sale of shares in three US onshore wind farms had an opposing effect.
For the current year, RWE expects adjusted EBITDA of between €50m and €250m for this segment.
RWE is currently building wind power and solar plants as well as battery storage systems with an installed capacity of 3.7GW.
More than 20 of these plants, accounting for a total installed capacity of about 2GW, will start commercial operation as the year progresses.
For fiscal 2021, RWE expects to achieve adjusted EBITDA of between €2.65bn and €3.05bn at Group level; in its core business, adjusted EBITDA should amount to between €1.8bn and €2.2bn.
The forecast for adjusted EBIT is between €1.15bn and €1.55bn, and for adjusted net income the target is between €0.75bn and €1.1bn.
Chief financial officer Michael Müller said: “The result for the first quarter meets our expectations.
“We confirm our forecast and uphold the proposed increase in the dividend thanks to the bright medium- and long-term earnings prospects in our core business.
“We are making good progress with the expansion of renewables and are strengthening our position as one of the world’s leading players.
“Our high level of capital expenditure shows that we are speeding up the pace of our transformation.
“Hardly any company is changing as radically and as fast as RWE.”