(AOF) – Engie (+2.90% to 14.95 euros) is among the largest increases in the CAC 40 index after having revised upwards its financial outlook for the year 2024, on the sidelines of the publication of its 2023 annual results. Over this period, its net profit group share in 2023 amounted to 2.2 billion euros compared to 0.2 billion euros in 2022. The energy group’s Ebitda was established to 15 billion euros, up 9.7% organically. On the other hand, its turnover stood at 82.6 billion euros, down 11.4% organically.
In addition, “cash flow from operations” amounts to 13.1 billion euros, an increase of 5.1 billion euros compared to 2022. This increase is mainly supported by the improvement in the variation of working capital requirement (+2.8 billion euros).
A dividend of 1.43 euros per share
Catherine MacGregor, general director of the energy group, underlined that “Engie once again had a very good year in 2023, with an operating profit up 18% (organically, to 9.5 billion euros) and a strong cash flow generation. “These results demonstrate the progress made in the execution of our strategy and confirm our ability to evolve in an environment of volatility in the energy markets,” she explained.
For the year 2023, the Board of Directors proposes to distribute 65% of the recurring net profit group share, representing a dividend of 1.43 euros per share. This proposal will be submitted for shareholder approval at the General Meeting of April 30, 2024.
The Board of Directors also reaffirms the group’s dividend policy aimed at distributing 65 to 75% of the group’s recurring net profit and including a minimum dividend of 0.65 euros per share for the period from 2024 to 2026.
Engie anticipates an increase in its recurring net profit, group share
Following the presentation of these annual results, Engie indicates that it will “actively pursue its strategic plan which will allow the group to achieve its net zero carbon objective by 2045”.
Despite the drop in market prices in recent quarters and taking into account the embedded growth of GEMS (provider of energy supply solutions) in the contribution of its activities, Engie is revising upwards its recurring net profit target. of the group for the year 2024 at a level now between 4.2 and 4.8 billion euros compared to a range of 3.8 to 4.4 billion euros previously announced.
In addition, EBIT excluding nuclear is expected within an indicative range of 7.5 to 8.5 billion euros (compared to 7.2 to 8.2 billion euros previously).
By 2026, Engie anticipates growth in its results in Renewable activities driven by investments and in Energy Solutions thanks to the development of the asset base and a strong improvement in operational performance.
The company also expects a higher contribution from Infrastructure and GEMS, whose annual normalized EBIT has been revised upwards from 1 to 1.5 billion euros.
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