Economic and financial objectives
The Business Plan envisages a substantial doubling of EBITDA to reach €1.8 billion in 2030. The significant growth in EBITDA is driven by the positive contribution of all business sectors.
The greatest support for growth is provided by regulated and semi-regulated activities, in particular the integrated water service and the expansion of district heating, as well as the increase in waste treatment and recovery capacity, the development of renewables and the extension of energy efficiency services and energy customer base.
The positive increase in EBITDA is also reflected in the expected net profit of EUR 500 million.
Iren's commitment to a balanced capital structure aimed at maintaining the current Fitch rating of BBB is confirmed. Despite the significant investment plan, the financial profile is expected to be balanced in terms of NFP/Ebitda ratio which is expected to remain below 3.5x over the plan period. The financial requirements in the plan period are expected to remain constant with a slight increase in the last three years. These financing needs will be managed with the most suitable instruments to ensure an adequate diversification of sources and investors, favouring the use of sustainable finance instruments. The average cost of debt is expected to fall over the next 10 years, thanks to the favourable market rate scenario, sitting in a range of between 1.4% and 1.6%.
ECONOMIC-FINANCIAL OBJECTIVES
2020 | 2024 | 2026 | 2030 | Cagr '30-'20 | ||
---|---|---|---|---|---|---|
EBITDA | mln € | 927 | 1,250 | 1,450 | 1,800 | 7% |
Networks (including TLR) | mln € | 496 | 550 | 650 | 870 | 6% |
Waste Management | mln € | 173 | 290 | 350 | 430 | 10% |
Energy (generation) | mln € | 98 | 230 | 230 | 260 | 11% |
Market | mln € | 148 | 140 | 160 | 180 | 2% |
Smart Solutions (Energy eff., e-mobility) | mln € | 13 | 30 | 40 | 60 | 17% |
EBIT | mln € | 415 | 560 | 660 | 950 | 9% |
Group net profit | mln € | 235 | 330 | 380 | 500 | 8% |
Net financial position/EBITDA | x | 3.2 | 3.3 | 3.1 | 2.5 | - |
Net financial position | bn € | 2.9 | 4.2 | 4.5 | 4.5 | - |