Iberdrola obtained ordinary net profit of €968 million in the first quarter of the year, 5.3% more than in the same period of 2019. EBITDA increased in line with this, growing by 5.8% to €2.75 billion.
This result was driven by the Deregulated and Renewables businesses, which improved by 26.5% and 6.1% respectively to €759 million and €725 million in EBITDA terms. The Regulated business EBITDA fell by 4.7% to €1.25 billion, due to accounting adjustments in the U.S. and the lower remuneration in Spain in accordance with the regulatory framework in force.
These results were possible thanks to the record investments that Iberdrola carried out between the beginning of 2019 and the end of the first quarter of 2020, amounting to €9.88 billion. Of this amount, €1.73 billion was invested in the first three months of this year, representing an increase of 24.2% compared with last year. 91% of investments were in Renewables and Networks: €810.2 million and €765.9 million respectively. The group continued to move ahead with 8,500 megawatts (MW) of projects under construction worldwide. Between January and March alone the group installed 1,200 new MW, and in the last 12 months it has added 5,500 MW of installed capacity, reaching a total of 53,270 MW. At the same time cash flow increased by 3.7% to €2.11 billion.
Iberdrola is accelerating investments in order to drive the recovery of the economy and of employment. During the first quarter the company activated its global action plan to respond to the pandemic, focusing attention on employees, suppliers and society at large. In terms of jobs, Iberdrola maintains its forecast of hiring 5,000 new recruits in 2020.
The impact of the pandemic will be largely cushioned by a number of factors. The strength of a business model based on networks and renewables, the continuity of business thanks to the additional measures put in place, the 8,500 MW of new capacity under construction, as well as further mitigation actions.
