Engie Raises Guidance After $14.2 Billion UK Power Networks Acquisition

By Adria Calatayud

Engie raised its 2026 outlook and projected earnings growth in coming years due to its $14.2 billion acquisition of UK Power Networks, but said restructuring costs and impairment charges hurt last year's net profit.

The French energy company said late Wednesday that full-year net profit amounted to 3.83 billion euros ($4.52 billion) compared with 4.11 billion euros in 2024. It booked impairment losses of 778 million euros, mainly due to lower commodity prices, sales of noncore assets and U.S. regulatory changes, and restructuring costs of 303 million euros.

Revenue declined to 71.94 billion euros from 73.81 billion euros.

On a recurring basis, the group's net profit fell 12% to 4.9 billion euros. Analysts had forecast recurring net profit at 4.87 billion euros, according to consensus estimates compiled by the company.

Engie said it expects a recurring net profit of between 4.6 billion and 5.2 billion euros in 2026, up from its previous guidance of 4.2 billion to 4.8 billion euros. The increase reflects the integration of Engie's proposed acquisition of electricity distributor UK Power Networks from Hong Kong billionaire Li Ka-shing's CK Group for 10.5 billion pounds ($14.24 billion).

The company also set a new 2028 target for recurring net profit to reach between 5.2 billion and 5.8 billion euros.

Write to Adria Calatayud at adria.calatayud@wsj.com

(END) Dow Jones Newswires

February 26, 2026 01:54 ET (06:54 GMT)