FX.co ★ Iberdrola To Accelerate Electrification; Sees High-mid-single-digit Growth In Earnings By 2026

Iberdrola, a global energy leader, has forecasted an unstoppable and exponentially growing electrification of energy in the upcoming years, a central support pillar of decarbonisation. To quicken this shift towards electrification, the company envisages gross investments amounting to 41 billion euros by 2026, encapsulating the purchase of an 18.4% stake in Avangrid. The company's renewable energy partners are set to pump in a further 5 billion euros, reducing the net investment to 36 billion euros. About 60% of these investments are earmarked for the enlargement and fortification of networks in the US, UK, Brazil, and Spain. Moreover, the company has a recruitment drive planned, aiming to hire 10,000 new employees within this period.

In terms of fiscal performance, Iberdrola is eyeing an EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) ranging between 16.5 billion euros to 17 billion euros in 2026. Furthermore, it anticipates handing out dividends totalling 11 billion euros between the years 2024 and 2026.