French energy giant Engie has raised its 2024 forecasts after returning to profitability in the first half of the year.
The company reported a net profit of €1.9 billion, thanks to the normalization of market conditions and the growth of renewable energy activities.
Revenue and Recurring Net Income
While revenue decreased by 20.2% to €37.5 billion, recurring net income reached €3.8 billion, a decline of 6.9%. This marks a significant turnaround from the €0.8 billion net loss recorded in the first half of 2023.
Revised Forecasts for 2024
Engie now expects a recurring net income for 2024 between €5.0 and €5.6 billion, up from the previously announced range of €4.2 to €4.8 billion.
The operating income (EBIT) excluding nuclear activities is expected to be in the range of €8.2 to €9.2 billion, compared to the previous forecast of €7.5 to €8.5 billion.
CEO’s Statement on Positive Results
“In a context of returning to normal market conditions, Engie has once again achieved a very good first half, which allows us to raise the group’s guidance for 2024,” said Catherine MacGregor, CEO of Engie, in the company’s press release.
Growth in Renewable Energy Activities
“Renewable energy activities have also progressed significantly, with more than 1 GW installed over the period and nearly 7 GW under construction at the end of June,” she added, stating that “this financial performance” illustrates “the strength of Engie’s integrated model.”
Analysis of Operating Income
The operating income excluding nuclear activities amounted to €5.6 billion in the first half, a decrease of 16.2%.
The comparison base for the first half of 2023 “was particularly high since we were at that time in an environment of very high and very volatile prices,” explained Catherine MacGregor during a conference call with journalists.