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• Group EBITDA: DKK8.9 billion, an 18% increase compared to last year.

• EBITDA Excluding New Partnerships: DKK8.6 billion.

• Net Profit: DKK4.9 billion, significantly increased compared to last year.

• Net Interest-Bearing Debt: DKK68.4 billion, an increase of approximately DKK10 billion during the quarter.

• Full Year EBITDA Guidance: DKK25 billion to DKK28 billion.

• Gross Investments: DKK13.8 billion for the quarter.

• Divestment Proceeds: DKK3 billion from farm-down of Eleven Mile and Sparta projects.

• Return on Capital Employed: Adjusted at 10.2%, reported at 4.6%.

• Effective Tax Rate: 5%, underlying rate at 23% after adjustments.

• Scope 1, 2, and 3 GHG Intensity: Decreased by 7% compared to last year.

• Offshore Wind Capacity Installed: Over 10 gigawatts.

• Renewable Generation Share: 99% of total generation.

• Hornsea 4 Project Impact: Potential negative EBITDA impact of DKK3 billion to DKK3.5 billion in Q2 2025.

• Warning! GuruFocus has detected 7 Warning Signs with DNNGY.

Release Date: May 07, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Orsted AS (DNNGY) reported a solid operational performance with a group EBITDA increase of 18% compared to last year.

• The company successfully completed the 50% farm-down of two solar farms in the US and a part of the West of Duddon Sands offshore wind farm in the UK, generating proceeds of around DKK7 billion.

• Orsted AS (DNNGY) commissioned the Gode Wind 3 project, marking the installation of over 10 gigawatts of offshore wind capacity.

• The renewable share of Orsted AS (DNNGY)'s generation reached 99% in the first quarter, driven by the closure of a large coal-fueled CHP plant.

• The company reported a significant reduction in the total recordable injury rate from 2.9% last year to 1.9% this year, reflecting a strong focus on safety.

Negative Points

• Orsted AS (DNNGY) faces challenges in the offshore wind industry due to supply chain issues, regulatory uncertainty, and macroeconomic developments.

• The company decided to discontinue the development of the 2.4 gigawatt Hornsea 4 project in the UK due to adverse developments, including cost increases and higher interest rates.

• The imposition of a 25% tariff on imports of steel and aluminum in the US has led to increased costs and an additional impairment of DKK1.2 billion for Orsted AS (DNNGY).

• The company's net interest-bearing debt increased by approximately DKK10 billion during the quarter, reaching DKK68.4 billion.

• Orsted AS (DNNGY) anticipates a potential negative impact on EBITDA of approximately DKK3 billion to DKK3.5 billion in the next quarter due to the discontinuation of Hornsea 4.