ESB Group announces interim results for six months ended 30 June 2021

Financial Highlights

  • Capital investment of €435 million
  • Operating profit before exceptional items of €363 million
  • Profit after exceptional items, interest and tax of €128 million

Dublin, Monday 20th September 2021

ESB Group today published its Interim Financial Statements for the six months ended 30 June 2021 (H1 2021). ESB has delivered improved financial results in H1 2021, including an operating profit before exceptional items of €363 million. Operating profit in the first half of 2020 was negatively impacted by COVID-19.  The increase in operating profit of €114 million compared to the same period in 2020 is driven by the recovery of electricity demand and capital work programmes with the easing of COVID-19 restrictions, timing of network tariff changes and positive foreign exchange movements.

In H1 2021, ESB had a net exceptional charge of €24 million. This was made up of a non-cash impairment charge on the Neart na Gaoithe Scottish offshore wind farm project, offset by a gain on the sale of a 47% stake in Tilbury Green Power, a waste wood energy plant in Great Britain.

ESB, operating on the island of Ireland and Great Britain, continues to:

  • Invest in critical electricity infrastructure (€435 million in H1 2021), including renewable generation;
  • Deliver reliable and safe electricity networks to 3.1 million customers; and
  • Provide long term value to over one million Electric Ireland business and residential customers through enduring savings, customer service and product innovation.

ESB’s 2030 Brighter Future Strategy outlines a commitment to lead the transition to reliable, affordable low-carbon energy for the benefit of its customers and the economy. This is demonstrated by:

  • Continuing to invest in low-carbon generation and customer solutions including significant offshore wind projects in Scotland, launch of Green Atlantic @ Moneypoint (a proposed green energy hub) and roll out of ESB’s first superhub e-car charging infrastructure at Monasterevin, Co Kildare;
  • Developing the electricity network to facilitate increased renewable and other distributed energy resource connections along with increases in customer demand; and
  • Empowering customers to take more control of their energy use through green electricity products and smart energy services for homes and businesses.

Commenting on the results Pat Fenlon, ESB’s Chief Financial Officer (CFO), said: “In the context of the easing of COVID-19 restrictions in 2021, ESB delivered an improved set of financial results as electricity demand increased compared to the first six months of 2020. We delivered operating profit before exceptional items of €363 million and capital investment of €435 million in this period. Through our Brighter Future 2030 Strategy, which is consistent with the Irish Government’s Climate Action Plan, ESB continues to invest in energy infrastructure to help deliver a low carbon energy future. Delivering long term value for the benefit of our customers, shareholders and the wider economy continues to be a key focus for ESB.”

Customers              
As part of its ongoing commitment to its customers, Electric Ireland remains focused on delivering the best long-term value in the market for customers.

ESB’s networks businesses (ESB Networks and NIE Networks) continue to focus on delivering reliable and safe electricity over increasingly smart networks to 3.1 million homes, farms and businesses across the island of Ireland. The roll out of smart meters in the Republic of Ireland has continued with almost 450,000 installed to date.

Contribution to the Economy
ESB invested €435 million in energy infrastructure investments in H1 2021.

ESB contributes €1.8 billion annually to the Irish economy through dividends, investments, taxes and jobs. ESB provides significant employment both directly, with approximately 7,800 employees, and indirectly through contractors and service providers. Read more here.

The ESB Group Financial Statements for the six months ended 30 June 2021 can be found here – www.esb.ie/ir

Ends

About ESB

ESB operates across the electricity market: from generation, through transmission and distribution to the supply of customers with an expanding presence in the British generation and supply market. In addition, we create further value through supplying gas, energy services and using our networks to carry fibre for telecommunications. ESB is the owner of the distribution and transmission networks in the Republic of Ireland (via ESB Networks) and Northern Ireland (via Northern Ireland Electricity Networks Ltd).  In H1 2021 it had a 33% share of generation in the all-island market (via ESB Generation and Trading) and a 36% share of electricity supply in the all-island market (via Electric Ireland) with 1.5 million gas and electricity customer accounts.