Iberdrola reports 20% year-on-year profit growth as it meets 2022 target early, installs 3.5GW of renewables in 2021

Facebook
Twitter
LinkedIn
Reddit
Email
Iberdrola chairman Ignacio Galán (pictured) said accelerated investment has helped the company deliver higher-than-expected growth. Image: Iberdrola

Spanish utility Iberdrola reported a €12 billion (US$13.6 billion) operating profit in 2021, which was 20% higher than 2020, and met its gross profit forecast for 2022 one year early, as its installed 3.5GW of renewables in 2021.

In its full-year 2021 financial results released today, the Bilbao-based company recorded an EBITDA of €12 billion, which it said was boosted by renewable energy production. However, it suffered from retail activity in the UK and Spain where it decided to maintain fixed prices despite huge volatility in European power markets.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

“Had prices to customers not been maintained, this figure would have increased substantially,” the company claimed.

The 20% growth in profits for 2021 means the company has achieved its gross profit forecast for 2022 one year early, its financial results said.

Its net profit rose 8% on 2020 to €3.88 billion, which was helped by good operating performance in the US and Brazil and new installed capacity.

Meanwhile, the company also increased its investments to €9.94 billion – up from €7.03 billion for the first nine months of 2021 – of which it allocated more than €4.3 billion to renewables.

This saw it install 3.5GW of new renewables last year, bringing its total installed renewables capacity to 38GW worldwide. Renewable capacity under construction exceeds 7.8GW.

Over €4.4 billion of investment was attributed to smart grids, a 23% growth compared to year-end 2020, in line with the group’s strategy of strengthening key infrastructure and supporting electrification. As a result, the company’s regulated assets stand at €33 billion, it said.

The US (€2.73 billion) and Spain (€2.38 billion) accounted for more than half of the investments.

“The acceleration of investments has helped us to continue to deliver strong growth at a higher rate than expected,” said Iberdrola chairman Ignacio Galán.

In February last year, the company announced plans to double its spend on renewables, taking its investment from €75 billion (US$91 billion) by 2025 to €150 billion (US$182 billion) by 2030.

In its guidance for 2022, Iberdrola said its net profit is forecasted to reach between €4 billion and €4.2 billion – a 12% increase in profits on 2021 when considering the higher end of expectations.

2 December 2025
Málaga, Spain
Understanding PV module supply to the European market in 2026. PV ModuleTech Europe 2025 is a two-day conference that tackles these challenges directly, with an agenda that addresses all aspects of module supplier selection; product availability, technology offerings, traceability of supply-chain, factory auditing, module testing and reliability, and company bankability.

Read Next

July 24, 2025
Spanish independent power producer (IPP) Sonnedix has raised €2 billion (US$2.35 billion) through two refinancing transactions in Europe.
July 24, 2025
Spanish energy utility giant Iberdrola has recorded over €3.5 billion in net profits in the first half of 2025 as it continues to expand investments in grid networks and high-value markets.
July 24, 2025
The Spanish Congress of Deputies has toppled the royal decree-law aimed at reforming the grid after the 28 April blackout, which affected the Iberian Peninsula.
July 23, 2025
US-based microinverter manufacturer Enphase Energy saw a decline of two percentage points in its gross margin for Q2 2025 due to Donald Trump's “reciprocal” tariffs regime.
July 22, 2025
Statkraft has posted quarter-on-quarter declines in electricity generation and earnings in the second quarter of this year.
July 18, 2025
Companies have signed 4.22GW of solar PV power purchase agreements in the first half of 2025, according to Swiss consultancy Pexapark.

Subscribe to Newsletter

Upcoming Events

Media Partners, Solar Media Events
September 2, 2025
Mexico City, Mexico
Solar Media Events
September 16, 2025
Athens, Greece
Solar Media Events
September 30, 2025
Seattle, USA
Solar Media Events
October 1, 2025
London, UK
Solar Media Events
October 2, 2025
London,UK