RWE has reported increased earnings before tax, depreciation and amortisation (EBITDA) in both its offshore wind on onshore renewables businesses for 2023.
Adjusted EBITDA in RWE’s offshore wind segment amounted to €1.7bn in fiscal 2023, compared to the prior-year figure of €1.4bn.
The increase in earnings is due to the commissioning of new capacity, while more favourable wind conditions also had an impact, especially at RWE’s UK sites.
RWE’s onshore wind/solar arm recorded adjusted EBITDA of €1.2bn in fiscal 2023 compared to €800m for 2022.
This was primarily due to the earnings contribution from the business activities acquired as a result of the takeover of Con Edison Clean Energy Businesses in the US that were fully consolidated as of 1 March 2023, as well as the commissioning of new wind farms, solar parks and batteries.
Lower realised power prices had a counteracting effect.
RWE invested a total of €11.4bn net, compared to €4.4bn in 2022.
The acquisition of Con Edison Clean Energy Businesses in the US accounted for the largest share of capital expenditure at €6.3bn.
Further funds were invested in new wind and solar power facilities and battery storage systems in Europe and the US, supplemented by acquisitions in the Netherlands and the UK.
As a result, the company’s portfolio grew by more than 160 facilities with a total capacity of 6.3GW.
RWE’s electricity production from renewables increased by 27% to 45.2 terawatt hours (TWh) in 2023 compared to 35.5 TWh in the same period the previous year.
Markus Krebber, CEO of RWE, said: “RWE looks back on a successful fiscal 2023.
“We achieved very good earnings, significantly expanded our green portfolio and at the same time substantially reduced our CO2 emissions.
“The fact that RWE is becoming increasingly climate-friendly while remaining a reliable energy company is not least thanks to our employees, whom I would like to thank for their outstanding performance last year.
“We are resolutely pursuing our ‘Growing Green’ strategy: another 100 projects with a total capacity of more than 8 gigawatts are already under construction.”
In the current fiscal year, RWE expects that it will not be able to match the very good earnings achieved in 2023, envisaging adjusted EBITDA within a range of €5.2bn to €5.8bn.
This guidance remains unchanged despite the significant drop in power prices since then.