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    George Lonzo • Bernstein

    George Lonzo's questions to EDP SA (EDPFY) leadership

    George Lonzo's questions to EDP SA (EDPFY) leadership • Q1 2025

    Question

    George Lonzo from Bernstein requested more detail on EDP's energy hedging levels in Iberia for 2025, 2026, and 2027. He also asked if solar CapEx outside the U.S. is expected to decrease materially, potentially boosting profitability for projects with open procurement.

    Answer

    CFO Rui Teixeira provided hedge levels, stating 2025 is hedged around €70/MWh and 2026 has hedges in place around €63/MWh. Regarding solar CapEx, he noted that module prices are already at minimums and further significant reductions are not expected. He explained that PPA prices are set to lock in the target investment spread relative to CapEx at the time of negotiation, so a major profitability boost from falling costs is not anticipated.

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    George Lonzo's questions to EDP SA (EDPFY) leadership • Q1 2025

    Question

    George Lonzo from Bernstein requested more detail on EDP's energy hedging levels in Iberia for 2025, 2026, and 2027. He also asked if solar CapEx outside the U.S. is expected to decrease materially, potentially creating opportunities to boost project profitability where procurement is still open.

    Answer

    CFO Rui Teixeira disclosed that for 2025, hedges are around €70/MWh, and for 2026, some hedges are already secured around €63/MWh. Regarding solar CapEx, he stated that module prices are already at minimum levels and further significant reductions are not expected. He explained that EDP aims to lock in CapEx when negotiating PPAs to protect margins, meaning any cost shifts would likely be reflected in PPA prices.

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