Call Start: 16:45 January 1, 0000 6:16 PM ET
Acciona, S.A. (OTCPK:ACXIF)
Q2 2023 Earnings Conference Call
July 27, 2023, 04:45 PM ET
Company Participants
Jose Manuel Entrecanales - Chairman and Chief Executive Officer
Rafael Mateo Alcala - Chief Executive Officer, Acciona Energias
Arantza Ezpeleta Puras - Chief Financial and Sustainability Officer, Acciona Energias
Jose Angel Tejero - Chief Financial and Sustainability Officer
Luis Castilla - CEO, Infrastructure
Andres Pan - CEO, Real Estate Unit.
Enrique Perez - CEO, Bestinver
Conference Call Participants
Jose Manuel Entrecanales
Good morning and welcome to the presentation of Acciona Energias First Half 2023 results. I will make a brief introduction with a few points, I'd like to highlight and then pass on the floor to my colleagues; Rafael Mateo, CEO and Arantza Ezpeleta, CFSO.
I believe Acciona Energias is now a better company than when we did the IPO two years ago. Higher value, larger scale, more profitable, better and more pipeline and on the right track to prove our capacity to execute the 2 gigawatts a year of new capacity target. All in all, as I say a better company then two years ago.
Our investment activity is accelerating rapidly with 2.2 gigawatts under construction and 1 gigawatt of secured projects that will enter into construction the next 12 months. So we're on track to deliver 1.8 gigawatt of install capacity by the end of 2023. I am very confident than we can at least install the same amount in 2024. From then on, we believe that we have the means, the pipeline, the balance sheet capacity, the supply change, the manpower and the knowhow to continue installing north of 2 gigawatts a year in the foreseeable future.
2023 is the year when we prove our capacity to add new profitable megawatts at the pace announced at the IPO, which I expect will ease the negative market sentiment that has been holding the share price back over the last six to nine months.
Of course, there are other renewable sector-wide investor concern. Inflation, interest rates, CapEx costs supply change, de-globalization policies, or network congestion, are undoubtedly challenges to be considered. In our case, we believe we have all those challenges sufficiently under control. Undoubtedly, we have experienced some delays in achieving our growth targets, but '22 was a very unusual year, with all the above-mentioned problems in their epitome.
The war in Ukraine, total disruption in the global supply change, anti-circumvention chaos in the US PV market, regulatory instability, the PGM connection collapse, markets getting acquainted with inflation, and interest rates hikes, all in an environment of unusually high energy prices that we also, as temporary, thus somewhat making us a big teams of our own success, as the levels of profitability would be very hard to match in future years.