Scatec Doubles Investment Targets Through 2030 – Heavy Impairments Weigh on Quarterly Result
Oslo – Norwegian renewable energy group Scatec booked a consolidated loss of around EUR 110 million in the third quarter of 2026, despite higher operating earnings. At the same time, the company announced it would double its average annual equity investments for 2027 to 2030 to around EUR 194 million.
Power Production Rises – Impairments Weigh on Group Result
Scatec’s proportionate power production rose 22.2 percent to 1,469 GWh in the third quarter (previous year: 1,202 GWh). EBITDA from power production increased 12 percent to NOK 1.07 billion (around EUR 104 million).
Total proportionate EBITDA grew 13.6 percent to NOK 1.21 billion (around EUR 117 million). Proportionate revenues, by contrast, fell 23.2 percent to NOK 2.27 billion (around EUR 220 million). The decline was mainly due to lower construction activity compared with the same quarter a year earlier. The construction business generated EBITDA of NOK 168 million (around EUR 16 million), which benefited from positive project completion effects of NOK 140 million (around EUR 14 million).
Scatec also booked impairments of NOK 1.15 billion (around EUR 111 million) on assets in Ukraine and Pakistan. The consolidated net result fell to minus NOK 1.135 billion (around minus EUR 110 million), after a small profit a year earlier.
On October 21, Scatec had already lowered its full-year EBITDA guidance for power production for the second time in 2026, most recently by NOK 300 million to a range of NOK 3.3 billion to NOK 3.6 billion. The midpoint is thus 12.7 percent below the original full-year guidance. Among the factors weighing are attacks on Ukrainian energy infrastructure, regulatory restrictions in the Philippines, project delays and currency effects.
Egypt: EBRD Partnership Supports Financing Model
In Egypt, Scatec began construction of the 900 MW Shadwan wind project and of the first phase of the Dandara solar and storage project, with 569 MW of photovoltaic capacity and 100 MWh of storage capacity.
Scatec agreed an investment platform with the European Bank for Reconstruction and Development (EBRD). The EBRD is to hold a 40 percent stake in the platform and indicated equity investments and project-related guarantees totalling up to USD 221 million for this purpose.
The joint investment platform with the EBRD is part of Scatec’s financing strategy: the group develops and builds power plants, brings in external investors and remains involved as a service provider. This is intended to free up capital for new projects. The remaining order backlog in the construction business stood at NOK 10.5 billion (around EUR 1.02 billion) at the end of the quarter.
Strategy to 2030: Higher Investment Without New Shareholder Capital
For 2027 to 2030, Scatec is raising its average annual equity investment target from NOK 1 billion (around EUR 97 million) to NOK 2 billion (around EUR 194 million). The company aims to double its annual cash flow to equity to more than NOK 2.5 billion (around EUR 242 million) from 2030.
The targets of reducing interest-bearing corporate debt to NOK 4 billion (around EUR 387 million) and of generating at least NOK 3.4 billion (around EUR 329 million) from stake sales remain unchanged.
Scatec Shares Rise Sharply
Scatec shares rose 9.3 percent over the first four trading days of this week to EUR 8.09 (closing price, October 29, 2026, Börse Stuttgart). On October 30, the shares were trading at EUR 8.295 at around 1:18 p.m., a daily gain of 2.6 percent.
Scatec’s expansion strategy relies on rising earnings from power production, cash inflows from the construction business and successful stake sales. The high impairments and positive one-off effects in the quarter also illustrate the volatility of earnings. Whether the planned doubling of investments without additional shareholder capital succeeds depends largely on operating performance and the execution of the stake sales.
Source: IWR Online, 30 Oct 2026