Iberdrola has closed a historic year with a net profit of €5.612 billion, a 17% increase compared to 2023, driven by a record investment of €17 billion, marking a 50% rise from the previous year. The growing electrification across its operating markets has accelerated the company’s performance, placing it ahead of its 2026 Strategic Plan objectives.

“With electrification driving demand across all the countries we operate in, this strong set of results allows us to get ahead of our strategic plan,” highlights Ignacio Galán, Executive Chairman of Iberdrola.

Investment in Grids and Renewables: The Growth Engine

Seventy per cent of Iberdrola’s 2024 investment has been directed towards its key markets: the United States and the United Kingdom, amounting to €12 billion. Within this investment strategy, the company has prioritised grid infrastructure and renewable energy development.

🔹 Electricity grids: €11.2 billion was invested, more than doubling the previous year’s figure. Distribution and transmission projects saw a 54% increase, primarily in the US and UK markets.

🔹 Renewable energy: Iberdrola allocated €5.5 billion to renewables, commissioning 2,600 MW of new capacity in 2024. This brings the company’s global installed capacity to over 44,000 MW. Additionally, €9.2 billion has been set aside for projects currently under construction, with 80% of them expected to come online in 2025 and 2026.

“Iberdrola has led electrification for the past 25 years, combining disciplined execution with a long-term commitment to delivering increased shareholder value. We continue on this path through our strong focus on network investment in the US and the UK, using funds from fossil fuel divestments to accelerate growth in these markets,” states Galán.

Fossil Fuel Divestment and Efficiency Improvements

As part of its energy transition strategy, Iberdrola has reinvested €1.1 billion from the sale of fossil fuel generation assets into its US (Avangrid) and UK (ScottishPower) subsidiaries. This move strengthens the company’s shift towards electricity grids and renewable energy as key drivers of future growth.

Additionally, these proceeds have been used to implement efficiency measures, optimising costs and ensuring long-term profitability.