Hera Group approves Business Plan to 2025
Business Plan to 2025 A Plan that combines growth, value creation and sustainable development Today, the Hera Group’s Board of Directors approved the Business Plan to 2025, which consolidates the Group’s commitment to balanced and sustainable development in all business areas, with the aim of continuing to create value for shareholders, local areas and the communities served. With Ebitda expected to reach 1.4 billion in 2025 and investments totalling approximately 3.8 billion over the period covered by the Plan, this five-year strategic document shows increases in all main targets and outlines a wide range of actions for the energy transition, the circular economy and technological evolution, with concrete and innovative projects that will also benefit from funding opportunities coming from the Recovery and Resilience Plan. 20 years of uninterrupted growth, and 2021 Ebitda expected to total over 1.2 billion euro The new Plan is based on a trend of uninterrupted growth, as is proven by Group Ebitda, which has increased more than sixfold in 20 years. This consistent and linear path has been seen since the establishment of the Hera Group, which is characterised by a full correspondence between the commitments made and the initiatives implemented, capital and financial solidity and a multi-business strategy that balances regulated and free market activities, internal growth and M&A transactions. This model, which has proved its resilience and capability of supporting stakeholders, even during adverse scenarios, has enabled the Hera Group to consolidate leading positions in all business areas. Three focal points of the Business Plan to 2025: environment, socio-economic factors and innovation In a context undergoing recovery, with an increasing emphasis on sustainability and the utilities sector set to benefit from the most significant share of the Recovery and Resilience Plan, the Hera Group will be able to continue to leverage the competitive position it has cultivated over the years and thus grow. In full compliance with national and European policies and the objectives on the UN’s 2030 Agenda, which have been guiding Hera’s strategies for some time, all projects in the Business Plan to 2025 are structured around three focal points: the environment, socio-economic factors and innovation, with initiatives for the green and digital transition, capable of generating positive effects in the areas served. A strong increase in investments, coming to over 3.8 billion euro, thanks to the Group’s financial solidity The Plan to 2025 calls for a sharp increase in investments, amounting to more than 3.8 billion euro, or approximately 770 million per year. This is a very significant rise – equivalent to 60% – compared to the average seen over the last five years, and is possible thanks to its solid financial structure, reinforced over the years and in 2021 as well. Investment allocation combines internal development opportunities with actions to increase system resilience (accounting for roughly 1.2 billion). Significant investments for innovation will be made in all business areas and support will be given to the ongoing transition. In general, of the total investments envisaged in the Plan, more than 1.7 billion are aligned with the criteria with which the European Taxonomy identifies opportunities that contribute to environmental policy objectives, in particular the two areas regulated for now, relating to mitigation of and adaptation to climate change. Furthermore, many of these interventions respect the directions indicated by the Recovery and Resilience Plan. Business Plan to 2025 2019-05-27 For further information Business Plan to 2025 The new five-year strategic document builds on the Group’s path of growth, with investments coming to over 3.8 billion and concrete energy transition and circular economy projects /-/hera-group-approves-business-plan-to-2025 /group_eng/investors /group_eng/investor-relations/hera-overview Press release Visit Investors web area Hera Overview Business Plan to 2025