According to Aljas, Ignitis Group’s result exceeded Swedbank’s expectations by 14.8%. “The result was significantly affected by worse results in the green energy segment due to the lower average earned electricity price and in the customer solutions (C&S) segment due to lower volumes and accounting nuances. However, given the extraordinary earnings from a year ago, we believe this is a normalization. It is also worth noting that Ignitis left its targets for 2023 unchanged,” Aljas said.
According to Swedbank’s calculations, the estimated price of electricity earned by Ignitis’ green energy segment in the nine months of 2023 was around 160 euros per MWh. This is significantly higher than average electricity prices in the region. Ignitis has achieved this relative strength through its ability to structure long-term internal power purchase agreements (PPAs) across its green energy and customer solutions segments. This enables the entire value chain of the integrated business model to be realized, Aljas analyzed.
2023-12-13 16:24:45
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