Neoen has upgraded its 2022 adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) target.
The French renewables developer ended the year with 6.6GW in operation or under construction.
Based on latest estimates, Neoen expects its 2022 adjusted EBITDA to reach slightly above €410m, ahead of the previous target of €390–410m set in November 2022.
Neoen had already raised its guidance twice during the year, after initially setting a target of between €360–375m in March 2022.
The larger volume of electricity generated by Neoen as a result of the growth in its solar and wind capacity was the main factor accounting for this increase.
To a lesser extent, Neoen also recorded higher income from its larger storage capacity, while its merchant revenue stream also rose as a result of higher electricity prices.
The company’s latest 2022 estimate represents an increase of over 36% on the €300m in adjusted EBITDA recorded in 2021.
Neoen also launched the construction of 1GW in solar, wind energy and storage assets during the fourth quarter of 2022.
The secured portfolio therefore increased by over 1.3 GW compared to year-end 2021, reaching 7.4GW at year-end 2022.
Neoen ended 2022 with 6.6GW in capacity in operation and under construction, versus 5.4GW at year-end 2021.
Xavier Barbaro, Neoen’s Chairman and Chief Executive Officer, said: “The strong growth in our 2022 EBITDA primarily stems from the increase in our production capacity.
“As we have achieved a sixfold increase in our capacity in operation or under construction in six years, we are delighted to be two-thirds of the way already towards our 2025 target of 10GW.
“Our portfolio of secured projects also grew substantially in 2022, directly in line with our roadmap presented in 2021: we have actively expanded in Corporate PPAs, extended our leadership in storage, where we broke through the gigawatt barrier, strengthened our energy management expertise and enhanced our geographical coverage.”