The unaudited interim condensed consolidated financial statements of Latvenergo Group for the first 3 months of 2026 are published today, on 29 May.
In the first quarter of this year, Latvenergo Group was the leading electricity producer in the Baltics, accounting for one-third of the total volume within the region. A 15-fold increase in electricity generation at the new solar and wind power plants ensured an overall 25% growth in electricity generation.
Higher electricity generation contributed to a 10% increase in electricity sales volumes and exports outside Latvia.
Higher demand in the Baltics due to colder weather contributed to a 39% increase in the volume of electricity generated at the Latvenergo AS CHPPs, particularly in cogeneration mode.
The increase in electricity generation at the new solar and wind power plants had a positive impact on the Group's financial results. The Group's revenue in the first quarter of 2026 amounted to EUR 638.0 million, which is 24% more than in the corresponding period last year. The Group's EBITDA increased by 12%, reaching EUR 162.1 million.
Due to colder weather, electricity consumption increased significantly across all Baltic States compared with the corresponding period last year, growing by 13%. The increase in demand drove electricity prices up by an average of 14% in the Baltics markets. At the same time, electricity generation in the Baltics increased by 12%, mainly driven by an 18% increase in generation in Latvia.
In the first three months of this year, Latvenergo Group generated 2,068 GWh of electricity, which is 25% more than in the corresponding period last year and accounts for approximately a third of the total electricity generated within the Baltics. Generation from renewable energy sources increased significantly - with new solar and wind plants coming into operation, the volume of electricity generated rose almost 15-fold to 173 GWh. Meanwhile, due to colder weather, the volume of electricity generated at the Latvenergo AS CHPPs increased by 39%, particularly in cogeneration mode, reaching 1,115 GWh and thereby meeting high demand not only in Latvia but across the Baltics. Generation at Daugava HPPs was 7% lower than in the corresponding period last year, amounting to 775 GWh.
The increase in electricity generation contributed to a 10% increase in electricity sales volumes, reaching 2,906 GWh, of which 1,795 GWh were sold to retail customers in the Baltics. Of the total volume of electricity retail sales, 46% accounted for Lithuania and Estonia - 548 GWh and 272 GWh, respectively. Natural gas sales volumes also increased significantly, reaching 3,154 GWh, or 3.5 times more than a year ago. Elektrum Drive charging network in the Baltics has 1,241 charging ports with approximately 77,000 charging sessions of 1,665 MWh made during the reporting period.
The number of Elektrum customers also increased - the number of electricity customers in the Baltics exceeded 919,000 with 313,000 outside Latvia. The number of natural gas customers increased by 16%, reaching more than 78,000.
Latvenergo Group continues to implement its strategy to develop renewable energy sources within the Baltics in a focused manner. During the reporting period, the investment volume increased by 12%, reaching EUR 153 million. More than two-thirds of the total investment, or EUR 105 million, has been invested in new wind and solar power generation capacity. During the reporting period, the construction of the largest Latvenergo solar power plant DSE Aizpute Solar (265 MW) in Latvia was completed, and the park has started generating electricity. By the end of March, 828 MW of renewable energy had been newly installed within the Baltics, while projects with a total capacity of 316 MW are currently under construction. This year, Laflora Energy wind park (109 MW) will be commissioned and construction is underway at the Pienava Wind park (147 MW), as well as on other renewable energy projects of smaller size. At the same time, the Group is also developing six battery energy storage system (BESS) projects with a total capacity of 183.4 MW and an installed storage capacity of 441.2 MWh.
Driven by increases in the volumes of natural gas, thermal energy and electricity sold, as well as in the volume of electricity distributed, the Group's revenue in the first quarter of 2026 amounted to EUR 638.0 million, which is 24% more than in the corresponding period last year. The Group's EBITDA increased by 12%, reaching EUR 162.1 with profit increased to EUR 104.7 million (or by 10%) compared to the first quarter of 2025.
During the reporting period, Latvenergo entered into agreements with the acquisition transaction consultants for the acquisition of Telia Company AB shares in Tet and LMT. The Group has also become involved in environmental projects - the European Union's environment and climate programme project LIFE for improving the ecological status of rivers and also launched a research project for the automatic detection and identification of birds at wind parks in collaboration with Latvijas Mobilais Telefons SIA.
The unaudited condensed interim financial statements of Latvenergo Group for the first six months of 2026 will be published on 31 August, and those for the first nine months on 30 November.
LATVENERGO GROUP KEY PERFORMANCE INDICATORS
Operational figures
| 3M 2026 | 3M 2025 | ||
| Electricity customers | thsd. | 919 | 906 |
| Total electricity sales | GWh | 2,906 | 2,631 |
| Retail* | GWh | 1,795 | 1,752 |
| Wholesale** | GWh | 1,110 | 880 |
| Natural gas customers | thsd. | 78 | 68 |
| Total natural gas sales | GWh | 3,154 | 892 |
| Retail | GWh | 1,157 | 636 |
| Wholesale | GWh | 1,998 | 256 |
| Electricity generation | GWh | 2,068 | 1,651 |
| Thermal energy generation | GWh | 1,028 | 733 |
| Number of employees | 3,362 | 3,440 | |
| Moody's credit rating | Baa2 (stable) | Baa2 (stable) | |
* Including operating consumption
** Including sale of energy purchased within the mandatory procurement on the Nord Pool
Financial figures*
million EUR
| 3M 2026 | 3M 2025 | ||
| Revenue | 638.0 | 516.2 | |
| EBITDA | 162.1 | 145.0 | |
| Profit for the period | 104.7 | 94.9 | |
| Assets | 5,124.8 | 4,567.3 | |
| Equity | 3,143.2 | 3,112.8 | |
| Net debt | 1,112.1 | 499.6 | |
| Adjusted funds from operations (FFO) | 188.3 | 156.1 | |
| Capital expenditure | 153.3 | 136.7 |
* Information about the financial indicators and coefficients used by the Latvenergo Group is available in the Latvenergo Group's consolidated and Latvenergo AS Unaudited Condensed Interim Financial Statements for the first 3 months of 2026 - see the section "Formulas".
Financial ratios*
| 3M 2026 | 3M 2025 | ||
| Return on equity (ROE) | 6.7% | 6.3% | |
| Adjusted FFO / net debt | 48% | 88% | |
| Net debt / EBITDA | 1.8 | 0.9 | |
| EBITDA margin | 27% | 32% | |
| Return on assets (ROA) | 4.3% | 4.4% | |
| Net debt / equity | 35% | 16% |
* Information about the financial indicators and coefficients used by the Latvenergo Group is available in the Latvenergo Group's consolidated and Latvenergo AS Unaudited Condensed Interim Financial Statements for the first 3 months of 2026 - see the section "Formulas".
Consolidated Statement of Profit or Loss*
EUR'000
| 01/01-31/03/2026 | 01/01-31/03/2025 | |
| Revenue | 638,027 | 516,247 |
| Other income | 11,291 | 7,830 |
| Raw materials and consumables | (427,915) | (320,518) |
| Personnel expenses | (43,618) | (41,786) |
| Other operating expenses | (15,707) | (16,819) |
| EBITDA | 162,078 | 144,954 |
| Depreciation, amortisation and impairment of intangible assets, property, plant and equipment (PPE) and right-of-use assets | (47,127) | (44,295) |
| Operating profit | 114,951 | 100,659 |
| Finance income | 1,731 | 3,445 |
| Finance costs | (6,406) | (5,018) |
| Profit before tax | 110,276 | 99,086 |
| Income tax | (5,601) | (4,209) |
| Profit for the period | 104,675 | 94,877 |
| Profit attributable to: | ||
| - Equity holder of the Parent Company | 103,732 | 93,893 |
| - Non-controlling interests | 943 | 984 |
* The Latvenergo Consolidated Unaudited Condensed Interim Financial Statements for the first 3 months of 2026 are prepared in accordance with the IFRS Accounting Standards as adopted by the European Union
Consolidated Statement of Financial Position*
EUR'000
| 31/03/2026 | 31/12/2025 | |||
| ASSETS | ||||
| Non-current assets | ||||
| Intangible assets | 126,887 | 124,816 | ||
| Property, plant, and equipment | 4,209,945 | 4,106,391 | ||
| Right-of-use assets | 44,853 | 44,104 | ||
| Investment property | 1,759 | 2,332 | ||
| Non-current financial investments | 40 | 40 | ||
| Other non-current receivables | 1,847 | 1,855 | ||
| Deferred income tax assets | 2,027 | 2,037 | ||
| Derivative financial instruments | 2,178 | 1,688 | ||
| Total non-current assets | 4,389,536 | 4,283,263 | ||
| Current assets | ||||
| Inventories | 63,206 | 163,960 | ||
| Current intangible assets | 83,286 | 51,668 | ||
| Receivables from contracts with customers | 174,450 | 169,877 | ||
| Other current receivables | 21,304 | 14,358 | ||
| Deferred expenses | 4,218 | 3,169 | ||
| Prepayment for income tax | 1,843 | 1,736 | ||
| Derivative financial instruments | 7,902 | 11,818 | ||
| Other current financial investments | 239,897 | 149,915 | ||
| Cash and cash equivalents | 139,202 | 117,755 | ||
| Total current assets | 735,308 | 684,256 | ||
| TOTAL ASSETS | 5,124,844 | 4,967,519 | ||
| EQUITY AND LIABILITIES | ||||
| EQUITY | ||||
| Share capital | 1,076,324 | 1,076,324 | ||
| Reserves | 1,670,248 | 1,664,563 | ||
| Retained earnings | 388,901 | 283,826 | ||
| Equity attributable to equity holder of the Parent Company | 3,135,473 | 3,024,713 | ||
| Non-controlling interests | 7,757 | 6,814 | ||
| Total equity | 3,143,230 | 3,031,527 | ||
| LIABILITIES | ||||
| Non-current liabilities | ||||
| Borrowings | 1,160,543 | 1,179,715 | ||
| Lease liabilities | 44,493 | 43,514 | ||
| Deferred income tax liabilities | 15,636 | 10,168 | ||
| Provisions | 23,822 | 20,595 | ||
| Deferred income from contracts with customers and advances received | 157,338 | 156,640 | ||
| Other deferred income | 136,031 | 123,085 | ||
| Other non-current liabilities | 2,790 | 2,790 | ||
| Total non-current liabilities | 1,540,653 | 1,536,507 | ||
| Current liabilities | ||||
| Borrowings | 90,797 | 90,727 | ||
| Lease liabilities | 2,961 | 2,944 | ||
| Trade and other payables | 191,370 | 171,650 | ||
| Deferred income from contracts with customers and advances received | 43,227 | 47,274 | ||
| Other deferred income | 26,967 | 27,142 | ||
| Provisions | 83,411 | 51,281 | ||
| Derivative financial instruments | 2,228 | 8,467 | ||
| Total current liabilities | 440,961 | 399,485 | ||
| Total liabilities | 1,981,614 | 1,935,992 | ||
| TOTAL EQUITY AND LIABILITIES | 5,124,844 | 4,967,519 |
* The Latvenergo Consolidated Unaudited Condensed Interim Financial Statements for the first 3 months of 2026 are prepared in accordance with the IFRS Accounting Standards as adopted by the European Union
Additional information:
Janis Irbe
Group Treasurer
Phone: +371 29 453 897
E-mail: investor.relations@latvenergo.lv
www.latvenergo.lv
About Latvenergo
Latvenergo Group is one of the leading energy suppliers in the Baltics operating in electricity and thermal energy generation and trade, natural gas trade and electricity distribution services. Latvenergo AS has been acknowledged as the most valuable company in Latvia for several times. International credit rating agency Moody's has assigned Latvenergo AS an investment-grade credit rating of Baa2/stable.
Latvenergo Group is comprised of the parent company Latvenergo AS (generation and trade of electricity and thermal energy, trade of natural gas) and subsidiaries - Sadales tikls AS (electricity distribution), Elektrum Eesti OÜ (trade of electricity and natural gas, development of solar and wind parks in Estonia), Elektrum Lietuva UAB (trade of electricity and natural gas, development of solar and wind parks in Lithuania), Elektrum Next LT UAB (development of solar and wind parks in Lithuania), Elektrum Next SIA (development of solar and wind parks), Laflora Energy SIA (development of wind park), DSE Aizpute Solar SIA (development of solar park), Pienava wind SIA (development of wind park), Latvijas veja parki SIA (development of wind parks), Telšiu vejo parkas, UAB (development of wind park in Lithiania), Energijas publiskais tirgotajs AS (administration of mandatory electricity procurement process) and Liepajas energija SIA (generation and trade of thermal energy, electricity generation). All shares of Latvenergo AS are owned by the state and held by the Ministry of Economics of the Republic of Latvia.
