Reykjavík Energy's (Orkuveita Reykjavíkur) operations generated a profit of ISK 4.9 billion during the first six months of the year, unchanged from the corresponding period last year. The Group's operating revenues increased by 13% year-on-year, amounting to ISK 38.8 billion compared with ISK 34.4 billion during the same period in the previous year. Earnings before interest, tax, depreciation and amortisation (EBITDA) totalled ISK 23.7 billion, representing a 17% increase from the prior year. Profit for the period amounted to ISK 4.9 billion.
Funds generated from operations amounted to ISK 18.2 billion, compared with ISK 15.9 billion in the first half of 2025, while cash generated from operating activities totalled ISK 18.8 billion.
Increasing Investments
During the period, the Group invested ISK 15.0 billion, up from ISK 12.9 billion in the first six months of 2025. Investments were directed primarily towards the development and renewal of utility infrastructure, the expansion of energy reserves, and power generation.
"The Q1 results demonstrate the strength and stability of Reykjavík Energy's operations. Operating revenues have increased by 13% year-on-year and EBITDA by 17%, while funds generated from operations exceeded ISK 18 billion. This performance has enabled us to undertake substantial investment in infrastructure and further strengthen energy and utility services across our service area. Despite higher financing costs and the temporary effects of operational disruptions experienced by a major customer, the Group's financial position remains strong, liquidity is sound, and the company is well placed to meet society's growing energy and utility needs in the years ahead," says CEO Sævar Freyr Þráinsson.
"This solid performance is due in no small part to the cost-control measures we implemented immediately last autumn when Norðurál's operations encountered significant difficulties. The situation has progressed more favourably than initially feared, and Reykjavík Energy is now benefiting from that development," he adds. The dispute between Norðurál and Reykjavík Energy concerning the matter has been referred to arbitration.
The Group's total assets amounted to ISK 552 billion at the end of June, compared with ISK 538 billion at year-end 2025. Equity stood at ISK 284 billion, and the equity ratio was 51.5%.
Contact:
Snorri Hafsteinn Þorkelsson
CFO
snorri.hafsteinn.thorkelsson@orkuveitan.is
