Orsted plans first dividend distribution next year
Orsted reported lower second-quarter profit on Thursday, weighed down by noncash impairment charges tied to increases in long-dated U.S. interest rates, but the Danish renewable-energy company said all of its projects remain on schedule and within planned costs.
Net profit fell to 518 million Danish kroner ($79.9 million) from 3.10 billion kroner in the year-earlier period, the company said. Orsted attributed the decline to higher taxes and noncash impairment charges this year resulting from increases in long-dated U.S. interest rates, as well as gains on asset sales recorded last year.
Operating profit before depreciation, amortization, and impairment losses dropped to 5.42 billion kroner from 6.64 billion kroner a year earlier. The result came in above the consensus of 5.10 billion kroner provided by the company.
Revenue rose 21% to 20.65 billion kroner, mainly due to higher generation and prices, Orsted said.
Orsted said it made significant progress on its construction portfolio, with all projects proceeding on schedule and within planned costs.
The company reaffirmed its guidance for adjusted profit before depreciation, amortization, and impairment losses of above 28 billion kroner, compared with 25.1 billion kroner in 2025.
Orsted said it plans to reinstate dividend distributions for 2026, with the first distribution next year. The dividend will be announced in the 2026 annual report and will start at a modest level.