Elia Group: Half-year Adjusted Profit Up 26% to €411 Million
Elia Group reported a half-year adjusted profit of €411 million, up 26% year-on-year. Growth stems from the expansion of the regulated asset base in Belgium and Germany, as well as higher returns linked to the interest rate environment. Meanwhile, the group revised down its 2026 investment guidance to €4.8 billion, reflecting efficiency gains and calendar optimization of major projects.
Belgium and Germany Drive Adjusted Profit Growth
In Belgium, adjusted profit reached €163 million in the first half, advancing 26.8% thanks to a €21 million increase in asset remuneration. This improvement reflects the continued expansion of the asset base, the full effect of the €1 billion capital injection completed in 2025, and higher regulated returns driven by the rise in Belgian risk-free rates. The group also benefits from positive contributions linked to regulatory incentives, confirming solid operational performance.
In Germany, 50Hertz posted adjusted profit of €250.8 million, up 21%. Growth is driven by the continued expansion of the regulated asset base and a higher equity return rate compared to a year earlier. These gains are partially offset by an increase in depreciation and operating costs, consistent with a rapidly growing enterprise.
Financial Discipline and Reduction of Investment Program
Elia reduced its 2026 investment guidance by €300 million, bringing the range to approximately €4.8 billion. Chief Financial Officer Marco Nix clarified that this revision breaks down as follows: one quarter of the reductions corresponds to efficiency gains this year, while three quarters reflect a calendar shift to subsequent years, notably in connection with the LanWin 6 offshore project, scheduled over a longer horizon.
In parallel, Elia issued a hybrid loan of €900 million to strengthen its capital structure, and early repaid a €300 million term loan. The group's net debt, excluding EG, increased moderately by €500 million to €14.6 billion. The group maintains a debt portfolio entirely at fixed rates and an average cost of debt of 3%.
2026 Outlook and Investment in the Tarchon Interconnection
For the 2026 fiscal year, Elia reiterates its guidance for net profit of €690 to €740 million. In Belgium, the group anticipates adjusted profit toward the upper end of the €290 to €320 million range, supported by OLO rates observed in recent months. In Germany, adjusted profit is expected between €585 and €625 million, based on a regulated return on equity rate of 3%.
Elia also announced an investment in the Tarchon project, a 1.4 gigawatt HVDC interconnector linking Germany and the United Kingdom. Through its Wind Grid subsidiary, the group holds a 25% stake, with a capital commitment of approximately £200 million spread until the mid-2030s. CPP Investments is the majority investor and provides the bulk of the capital.
This transaction illustrates the group's strategy: combining disciplined execution of its regulated investment program in Belgium and Germany with selective partnerships supporting Europe's energy transition. Among operational milestones, 19 of the 23 caissons of the Princess Elizabeth energy island have been installed at sea by end of June, and the Ventilus project (380 kilovolt corridor in West Flanders) obtained its environmental permits in April, with construction work beginning this summer.
