Fingrid Oyj’s Financial Statements Bulletin January–December 2024: The need for electricity transmission and grid connection continued to grow rapidly – Fingrid’s grid investments increased to a record level

Core Insights - Fingrid's financial performance in 2024 showed significant growth in turnover and operating results, with a turnover of €1,269.3 million, up 6.4% from the previous year, and an operating result of €238.9 million, an increase of 28.4% [2][3] - The company is heavily investing in grid infrastructure, with capital expenditures reaching €520.9 million, a 61.7% increase from 2023, to support the growing demand for electricity transmission and renewable energy connections [3][4] - Fingrid's electricity consumption in Finland rose to 82.7 terawatt hours, reflecting a 3.4% increase, while the company transmitted 66.1 terawatt hours, representing 79.9% of the total consumption [5][9] Financial Performance - Turnover for 2024 was €1,269.3 million compared to €1,193.2 million in 2023, marking a 6.4% increase [2] - Operating result was €238.9 million, up from €186.1 million, a 28.4% increase [2] - Profit before taxes increased to €227.4 million from €186.0 million, a 22.3% rise [2] - Net cash flow from operations decreased by 11.0% to €190.9 million [2] Investment and Infrastructure - Fingrid's investment program is approximately €4 billion, focusing on enhancing transmission connections and accommodating higher electricity consumption [3] - Capital expenditure for 2024 was €520.9 million, a significant increase from €322.0 million in 2023 [2][3] - The company anticipates gross capital expenditure of roughly €1.7 billion from 2025 to 2028, with €626 million already committed [5] Electricity Consumption and Production - Total electricity consumption in Finland reached 82.7 terawatt hours in 2024, up from 80.0 terawatt hours in 2023 [5][9] - Fingrid connected 1,600 megawatts of renewable production capacity to the main grid [5][9] - The number of inquiries for connecting renewable electricity generation to the grid increased to over 400 gigawatts, indicating strong future demand [4] Regulatory and Legal Matters - Fingrid has appealed to the Market Court regarding the Energy Authority's decisions on balance service collateral requirements and profit regulation methods, which the company believes weaken its investment capacity [11][12] - The company is involved in ongoing legal proceedings related to the OL3 nuclear power plant's connection to the grid, asserting that it is not responsible for the associated protection scheme [13][21] Future Outlook - The company expects its financial results for 2025 to remain stable compared to 2024, despite anticipated increases in operational costs due to expanding electricity transmission needs [18] - Fingrid plans to raise grid service fees by an average of 8% starting January 2025 to cover growing costs and investments [9]