Results for the first nine months

Solid operations and increased revenues from electricity sales Landsvirkjun’s profit from core operations in the third quarter amounted to USD 56 million, and cash from operations USD 46 million.The Company’s financial position remains strong, with an equity ratio of 63.1% and leverage of 1.5× EBITDA.Revenue from electricity sales increased during the period compared with the same period last year. Hörður Arnarson, CEO: Operations at Landsvirkjun’s power stations remained...

Reykjavik, 20/11/2025 (informazione.news - comunicati stampa - economia)

Operations at Landsvirkjun’s power stations remained solid in the third quarter, following a marked improvement in reservoir conditions in the first half of the year. Reservoir levels remain good and there are no indications that electricity deliveries will have to be curtailed this winter.

Performance for the period was acceptable given the circumstances. Revenue from electricity sales increased by 7% compared with the same period in 2024, mainly due to the aluminium‑price linkage in contracts, as aluminium prices rose by 8%. Profit from core operations fell by 14% year‑on‑year, due among other things to a fine paid to the Competition Authority and higher electricity transmission costs.

The financial position remains strong, net debt has decreased by USD 39 million since the beginning of the year, and the equity ratio at the end of the period was 63.1%. Return on equity for the first nine months of the year increased to 7.8%, compared with 6.9% in the same period in 2024.

A serious breakdown at our customer Norðurál, aluminium smelter, in October, causing production to stop in two‑thirds of the company’s pots, has no impact on the third‑quarter results. The effects of the breakdown on Landsvirkjun’s finances are being assessed, including whether Norðurál’s purchase obligation toward Landsvirkjun remains in force and whether Landsvirkjun’s insurance will compensate for the loss, should the purchase obligation lapse.

Attachments