By Giulia Petroni


Europe's biggest utility Iberdrola SA said Wednesday that it plans to boost investments in power networks and renewables generation as part of its strategy for the 2023-25 period.

The Spanish company said it targets total investments of around 47 billion euros ($47.35 billion,) the largest share of which will be allocated in the U.S.

Networks investment will amount to around EUR27 billion, while EUR17 billion will be pumped into renewables.

"The record global investment plans we have set out today will help us to bring more self-sufficiency and resilience against potential energy shocks in the countries where we operate, by reducing their dependency on oil and gas," Executive Chairman Ignacio Galan said.

Net profit is expected to grow to a range of EUR5.2 billion and EUR5.4 billion in the period from around EUR4 billion and EUR4.2 billion in 2022, at a compound annual growth rate of 8% to 10%. Earnings before interest, taxes, depreciation and amortization are targeted to grow at a CAGR of between 8% and 9% to EUR16.5 billion and EUR17 billion.

Iberdrola said shareholders are expected to receive around EUR0.55 to EUR0.58 a share in 2025, with a payout of between 65% and 75% of earnings per share. The dividend-per-share floor will be of EUR0.46 in 2023-24 and of EUR0.50 in 2025.

For the 2026-30 period, the company plans investments of between EUR65 billion and EUR75 billion, with an acceleration of electrification. Total capacity is targeted at more than 100 gigawatts by 2030.


Write to Giulia Petroni at giulia.petroni@wsj.com


(END) Dow Jones Newswires

11-09-22 0449ET