Enel Chile Reports Decrease in Net Income and Revenue Amidst Operational Adjustments

Enel Chile reported a 7.8% decrease in net income to $246 million, with operating revenues falling 7.3% to $2,279 million. EBITDA increased 10.4% to $659 million, while financial debt rose by $40 million. The company's stock has a Hold rating with a $3.90 price target and a Neutral score from Spark's AI Analyst.

Enel Chile S.A. (NYSE: ENIC), the country’s largest listed electricity utility, recently reported its financial performance for the period ended June 30, 2025. The company announced a 7.8% decrease in net income to $246 million, with operating revenues falling 7.3% to $2,279 million. Despite these declines, EBITDA increased 10.4% to $659 million, indicating improved operational efficiency. Financial debt rose by $40 million to $3,970 million.

The decrease in net income was primarily due to lower financial results, offsetting improved margins in the Generation and Distribution and Networks businesses. Operating revenues decreased by 7.3% compared to the previous year, mainly due to lower energy sales. Procurement and services costs totaled $1,413 million, down 16.1% compared to the same period last year, largely explained by lower energy purchase costs and transportation expenses.

The Generation Segment saw a 5.3% decrease in net energy generation to 11,474 GWh, primarily due to lower hydroelectric dispatch and solar generation. Physical energy sales decreased 11.6% to 15,895 GWh, mainly explained by lower sales to regulated customers due to the expiration of contracts at the end of 2024. The Distribution and Networks Segment experienced a 2.3% decrease in physical sales to 7,237 GWh, driven by lower sales in the residential and commercial segments.

Enel Chile's stock has a Hold rating with a $3.90 price target and a Neutral score from Spark's AI Analyst. The company's stock was downgraded by Citi in July 2025 due to regulatory and sector uncertainties. Despite this, Enel Chile remains operationally resilient and continues to draw interest from investors seeking cheap utility stocks with long-term growth potential.

Enel Chile is expected to unveil a revised capital expenditure roadmap in August 2025, focusing on smart grid infrastructure to support Chile’s goal of reaching 93% renewable energy capacity by 2027. The company's leadership transition effective July 1, 2025, saw the appointment of Gianluca Palumbo, a veteran electrical engineer from Enel Group, who will intensify grid modernization and digital transformation efforts.

References:
[1] https://finance.yahoo.com/news/enel-chile-enic-names-ceo-162508653.html
[2] https://www.streetinsider.com/SEC+Filings/Form+6-K+Enel+Chile+S.A.+For%3A+Jun+30/25121101.html