Energisa CEO Pınar: "We are on track to meet our investment targets for 2024"
Foreks - Turkey's leading electricity distribution, retail sales, and customer solutions company Enerjisa Enerji (IS:ENJSA) has announced its financial results for the first nine months of the year. Continuing its significant infrastructure investments that contribute to Turkey's energy transformation, Enerjisa Enerji is making decisive strides towards achieving its financial targets for 2024. In this context, it is also stated that a dividend distribution is expected by the end of 2024.
The stable performance exhibited by Enerjisa Enerji across all its business lines, its commitment to operational excellence, and its strategic focus on sustainable growth continues to align with its goals and attract investor attention.
Despite ongoing challenging market conditions, Enerjisa Enerji demonstrated strong performance in the first nine months of 2024. The inflation-adjusted profit from the company’s operational activities increased by 400 million TL, reaching 29.9 billion TL in the first three quarters of 2024. The significant contribution to this success comes from the strong performance of the company’s Distribution segment, which recorded an operational profit of 24.9 billion TL, reflecting an increase of 1.6 billion TL compared to the same period last year.
According to the results announced, in the electricity retail sales sector where Enerjisa Enerji maintains its leadership, there was a growth of 7% in the regulated market and 36% in the liberalized market compared to the same period last year. This highlights Enerjisa's brand strength and competitiveness in the retail sales sector.
Since its IPO, Enerjisa Enerji has attracted investor interest with its dividend distribution performance, and it stated that it would distribute dividends at the end of 2024, amounting to at least 80% of its Base Net Income.
Customer Solutions gross profit increased fivefold
Enerjisa Enerji achieved a significant increase in gross profit from renewable energy and energy efficiency projects leading Turkey's energy transformation. In this area, the gross profit rose from 595 million TL in the first nine months of 2023 to 3.2 billion TL in the same period of 2024, maintaining its leadership position in the customer solutions sector, as it does in electricity distribution and retail sales.
We are reaching our investment targets for 2024
Emphasizing that the financial results are in line with expectations, Enerjisa Enerji CEO Murat Pınar stated, “The driving force behind Enerjisa Enerji's financial performance is investments. This is also why a significant portion of our operational profits comes from our Distribution segment. We have written a success story across 14 provinces with the investments made in Turkey's energy infrastructure post-privatization. Our infrastructure and customer solutions investments have nominally increased by 3% year-on-year, reaching 9.1 billion TL. We are pleased to be progressing steadily toward our targeted investment goal of 15-17 billion TL by the end of 2024. We feel responsible for being a part of Turkey's energy transformation while planning our long-term investment strategies. We will continue to invest in Turkey's energy infrastructure, which is a prerequisite for this transformation and the foundation for economic growth, aiming to provide a better future for everyone.”
We are demonstrating strong performance despite a challenging financial environment
Enerjisa Enerji CFO Philipp Ulbrich stated, “Our sector, like many others, is heavily influenced by the country’s financial environment. Despite the challenging financial landscape, Enerjisa Enerji is exhibiting strong performance. I anticipate we will reach our year-end operational profit target of 40 to 45 billion TL. High financial income and substantial investment spending repayments continue to be the main driving force behind Enerjisa's strong performance in the Distribution segment. This is evident with a 1.6 billion TL operational profit growth observed in just one year within the Distribution segment. In retail sales, there has been a strong increase in sales volume from 32.7 TWh to 37.6 TWh compared to last year. We continue to achieve high gross profits in the Customer Solutions segment. Our Solar PV installed capacity increased by 150% compared to the same period last year, positively impacting our operational profits.
Another important indicator of our financial status, Free Cash Flow (after interest and taxes), remained generally stable year-on-year, showing improvement compared to the first half of 2024 and recording a level of -5 billion TL. We aim to continue our strong operational and financial performance for the remainder of the year.