EDP Renewables grows portfolio but sees profit shrink after Texas storm

Portuguese utility reaches 12.6GW of operational renewables capacity, but records lower net profit than same period last year

EDPR boosted its operational renewables portfolio by 2.1GW between 30 June 2020 and 30 June 2021

Renewable energy company EDP Renewables (EDPR) ended the first half of 2021 with a larger operating portfolio, up 2.1GW from the same period last year to 12.6GW, but a decline in revenues and profit.

Revenues recovered slightly from the first-quarter slump the company attributed to the winter storm in Texas. But the €856 million in revenue for the first half of 2021 was still down 6% from last year. Net profit dropped even further, by 44% to €142 million. 

EDPR attributed the drop in revenues to falling sales, lower electricity sale prices and unfavourable currency exchange. It also lamented the freezing weather in Texas and lower wind speeds across the US in the first quarter of the year.

“The momentum of the company's internationalisation, coupled with the strength of our asset rotation strategy, as well as the good performance of our business in Europe and Brazil, allow us to be optimistic about the remainder of the year,” said EDPR chief executive Miguel Stilwell d'Andrade.

EDPR added 691MW of wind and solar capacity in the first half of 2021, while selling a 68% stake in an operating wind portfolio of 405MW in the US. In total, EDPR added 415MW to its consolidated portfolio. 

The additional capacity boosted H1 revenue by €61 million year on year, while higher wind resource globally added another €11 million. 

As of 30 June, EDPR had 2.2GW of onshore wind under construction, and was involved in 269MW of under-construction offshore wind projects.

EDPR expanded its geographical presence in the first half of the year by acquiring a solar and wind portfolio in Chile, and setting up a joint venture in Greece.

Earlier this month, the company entered the UK onshore market with deals to buy solar and wind projects.