Q1 2022 Ignitis Group results: growth driven by Green Generation and 2022 guidance increase 

19 May 2022
Q1 2022 Ignitis Group results: growth driven by Green Generation and 2022 guidance increase 
  • Adjusted EBITDA of Ignitis Group in Q1 2022 reached EUR 111.4 million and recorded 42.6% growth compared to Q1 2021. 

  • The increase mainly driven by the Green Generation segment due to the launch of Pomerania wind farm in Poland and better results of hydro portfolio. 

  • Green Generation Adjusted EBITDA accounted for almost 2/3 of the Group's total results in Q1 2022. 

  • Strong renewables portfolio results driven to increase 2022 Adjusted EBITDA guidance to EUR 330-360 million.  

  • Green Generation pipeline additions of around +230 MW since the end of 2021 and development of existing portfolio with no changes in key milestones further to support renewables growth. In Q1 2022, the Group’s investments amounted to EUR 43.1 million and were higher by 48.6% compared to Q1 2021 mainly due to higher investments in Networks segment mainly due to more new connection points and upgrades.  

Adjusted EBITDA, of the leading utility and renewable energy group in the Baltic region, Ignitis Group in Q1 2022 grew by 42.6% to EUR 111.4 million compared to Q1 2021. The increase was mainly driven by the Green Generation segment due to the launch of Pomerania wind farm in Poland and better results of hydro portfolio. Green Generation Adjusted EBITDA accounted for almost 2/3 of the Group's total results in Q1 2022. The Group’s green share of electricity generated increased by a third to 93.6% in Q1 2022, from 61.0% in Q1 2021.  

Following the solid performance of the Green Generation segment in Q1 2022, 2022 Adjusted EBITDA guidance range has been increased to EUR 330–360 million (from EUR 290–335 million indicated in Annual report 2021). 

Russia’s invasion of Ukraine  

The Group condemns Russia’s unprovoked invasion of Ukraine. This goes against our values, and we have taken and will continue to take actions supporting Ukraine and its people as well as human rights and energy independence.  

“Even though natural gas supply is not the core business of the Group, in relation to the Russia’s invasion of Ukraine, we suspended natural gas purchases from Gazprom by replacing its supply with LNG cargoes. This, together with increase in market prices, led to an increase in working capital needs. In order to ensure market demand and uninterrupted gas supply as well as to fund working capital needs, the Group concluded credit line agreements with banks, with a total limit of around EUR 400 million. Even though there are additional risk factors, proper actions have been taken to manage them and no significant changes in risk levels of key risks of the Group were recorded”, said Darius Maikštėnas, CEO and Chair of the Management Board at Ignitis Group. 

The Group constantly monitors the situation and analyses the latest information and changes in external factors, and their impact on the Group. In the same manner, the Group also ensures uninterrupted supply of energy and business continuity. 

Business development  

Since the end of 2021 we expanded our Green Generation pipeline by around 230 MW (out of which around 80 MW in Q1 2022) with greenfield projects, by securing land plots for onshore wind and solar projects in Lithuania and Poland. 

We also expect our Green Generation expansion to speed up even more as changes have been made in the renewables related legislation in 2022. Also, to increase energy independence, the Lithuanian Ministry of Energy presented the energy “Breakthrough” package (link in Lithuanian). Despite it’s still pending approval in the Parliament, its goal is to speed up the development of renewables, mainly by easing the excess requirements for environmental impact assessment and sanitary protection zones and establishing a framework of a support scheme for local communities.  

In addition, an important milestone was also reached on Lithuanian offshore wind development front. On 31 March 2022 the Parliament of Lithuania adopted amendments to legislation foreseeing the start of the tender on 1 September 2023. The amendments, amongst other changes, also determined the winner selection method, support (CfD) and grid connection (developer build) models. The next milestones include passing resolutions on specific tender requirements (e.g., experience and financial capability) by 1 July 2022 and an approval of tender rules by the national regulatory authority (National Energy Regulatory Council, NERC) by 1 September 2022.  

Currently, all our Green Generation projects are fully on track with a minor deviation in the interim milestone of Vilnius CHP’s biomass unit (73 MWe, 169 MWth). We still expect the project’s COD to take place in Q2 2023, however, due to a global supply chain disruption and workforce shortage, mainly affected by the Russia’s invasion of Ukraine, generation of first energy has been rescheduled to Q1 2023 (from Q4 2022).  

On the Networks side, despite the supply chain disruptions, we have successfully continued maintenance and expansion works. Smart meter roll-out project is on track with meters currently being metrologically certified in the EU as well as an ongoing process of registration in Lithuanian Metrology Inspectorate. The first batch of them has been received for testing in Q1 2022. Currently, the basic information system of smart meters is being tested and should be finalised in Q2 2022, followed by the start of their installation. The target to complete the mass roll-out process by the end of 2025 remains unchanged.   


A significant part of the Q1 2022 was devoted to the preparation of the GRI-aligned comprehensive Sustainability Report for 2021. We continue to refine our disclosures to provide a wide set of stakeholders a clear view of our performance and progress. In addition, we have calculated our GHG emissions for the year 2021 and the calculations were externally verified. Total emissions decreased by 11.4% compared to 2020. And finally, we became the first Lithuanian company to receive the prestigious Top Employer 2022 Lithuania certificate from the Top Employers Institute, which demonstrates that our HR practices and working conditions are aligned with highest international standards.   

Corporate changes   

Q1 2022 was also marked with changes on the Group’s corporate governance front as new members of the Management Board have been elected by the Supervisory Board. 3 out of 5 of the members have served in the previous term of the Management Board, including CEO, thus, allowing to comfortably continue the Group’s development.    


Key financial indicators (APM) for Q1 20221  

EUR, millions 

Q1 2022 

Q1 2021 






Adjusted EBITDA 




Green Generation 








Flexible Generation 




Customers & Solutions 








Adjusted EBITDA margin 



(9.3 pp) 

Net profit 




Adjusted net profit 















(3.7 pp) 

Adjusted ROE LTM 



1.0 pp 




(3.4 pp) 

Adjusted ROCE LTM 



1.0 pp 





Net debt/Adjusted EBITDA LTM, times 




FFO LTM/Net debt 



(0.8 pp) 

1 Due to Networks Methodology update, change in accounting policy and reclassifications as well as reduction of management adjustments, all financial indicators were recalculated retrospectively for all quarters of the year 2021 (for more information, see Annual report 2021 section ‘Annual results’ part ‘Significant changes in reporting period of 2021’). 

2 Other – other activities and eliminations (consolidation adjustments and related party transactions), including financial results of the parent company. More information about it is disclosed in the First quarter 2022 Interim report section ‘6.2 Parent company’s financial statements’.