EDP's 2023 profit rises 40%, misses forecasts due to one-offs

LISBON (Reuters) - Portugal's largest utility EDP reported on Thursday a 40% jump in 2023 net profit, driven by higher hydroelectric production in Iberia and more earnings from its Brazilian business, but still missed expectations due to one-off losses.

EDP-Energias de Portugal netted 950 million euros ($1.03 billion), while analysts polled by LSEG had expected, on average, a profit of 1.2 billion euros. Profit reported earlier by its wind and solar unit EDP Renovaveis plunged 50% to 309 million euros as revenues fell.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 11% to around 5 billion euros, in line with estimates.

EDP said in a statement that non-recurring losses, such as impairments linked to a thermal power plant in Brazil and wind energy projects in Colombia, increased 40% to 952 million euros in 2023.

Excluding one-offs, net income would have reached 1.3 billion euros, it said, "supported by the hydro production recovery in Portugal to levels in line with historical average after an extreme drought in 2022, and an increase in results from Brazil".

EDP last August acquired full ownership of EDP Brasil, in which it previously held a 56% stake.

The company said it would propose a dividend of 0.195 euros per share for 2023, up from 0.19 euros paid the previous year.

($1 = 0.9258 euros)

(Reporting by Sergio Goncalves; Editing by Tomasz Janowski)