IBERDROLA RENOVABLES, world leader in wind power(1), recorded a net profit of €171.9 million in the first quarter of 2011, a rise of 10.1% over the same period last year.

Gross operating income (Ebitda) rose 2.6% to €452.7 million, while Ebitda from renewables business was 9.3% higher at €428.3 million. Wind power business contributed €418.9 million to Ebitda, 92.5% of the total.

By country, Spain accounted for 50.4% of Ebitda, the U.S. for 25.7%, the UK 7.7% and the Rest of the World area 10.8%, while gas business accounted for 5.4%.

Operating capacity rose 16.6% to 12,584 megawatts (MW)(2), with 61.4% of the increase corresponding to new capacity in the U.S. where the government maintains its firm commitment to renewable energy.

IBERDROLA RENOVABLES produced 7,636 million kilowatt hours (kWh) in the quarter, an increase of 12.1% which was driven largely by strong performance in the U.S. wind business where output rose 47.9% and also in the UK where it increased 22.9%.

Solid business performance in renewable energy and improved prices in most markets where the Company operates contributed to a 13.2% rise in strong cash flow generation to  €378 million.

The Company thus maintained its world leadership both in operating capacity and production, and currently has 1,030 MW under construction. Cost control efforts meanwhile enabled a 1.5% efficiency gain compared to the first quarter of 2010.

During the first quarter, the Company started up the El Andévalo (Huelva) wind farm with capacity of nearly 300 MW, making it the largest in continental Europe.

Outside Spain, IBERDROLA RENOVABLES achieved a 50% market share in Hungary after starting up 70 MW of new capacity at the Amundsen, Scott and Csoma II wind farms. The Company is developing another 100 MW  in new projects in this country, thus consolidating its Eastern European presence.

The Company obtained all permits required for the extension of the Whitelee and Black Law wind farms, which will become two of the three largest installations in Scotland, and has acquired the 26 MW Bii Nee Stipa wind farm in Mexico.

LEGAL NOTICE:  

DISCLAIMER   

This document has been prepared by Iberdrola Renovables, S.A. exclusively for its use regarding the presentation of financial results for the first quarter of 2011. As a consequence thereof, this document may not be disclosed or published, nor used by any other person or entity, for any other reason without the express and prior written consent of Iberdrola Renovables, S.A.  

Iberdrola Renovables, S.A. does not assume liability for this document if used for different purposes thereof. The information and all statements contained in this press release have not been verified by independent third parties; therefore no express or implied warranty is made as to the impartiality, accuracy, completeness or correctness of the information or the opinions and statements expressed herein.  

Neither Iberdrola Renovables, S.A., its subsidiaries or any entity within Iberdrola Group or subsidiaries, or any company participated by Iberdrola Renovables, S.A., assume liability of any kind, whether for negligence or any other reason, for any damage or loss arising from any use of this press release or its contents. The Information contained in this press release about the price at which securities issued by Iberdrola Renovables, S.A. have been bought or sold in the past or about the yield on securities issued by Iberdrola Renovables, S.A. cannot be relied upon as a guide to future performance. Neither this press release nor any part of it constitutes a contract, nor may it be used for incorporation into or construction of any contract or agreement.  

IMPORTANT INFORMATION   

This press release does not constitute an offer or invitation to purchase or subscribe shares, in accordance with the provisions of the Spanish Securities Market Act (Act 24/1988, of 28 July), Royal Decree Act 5/2005, of 11 March, and/or Royal Decree 1310/2005, of 4 November, and its implementing regulations.  

Particularly, this press release does not constitute an offer to purchase, sell or exchange or the solicitation of an offer to purchase, sell or exchange any securities in the United States of America. The shares of Iberdrola Renovables, S.A. may not be offered or sold in the United States of America except pursuant to an effective registration statement under the Securities Act or pursuant to a valid exemption from registration.  

FORWARD-LOOKING STATEMENTS  

This press release contains forward-looking information and statements about Iberdrola Renovables, S.A. These forward looking statements relate to financial projections and estimates and their underlying assumptions, statements regarding plans, targets and expectations with respect to future operations, capital expenditures, synergies, products and services, and statements regarding future performance. Forward-looking statements are statements that are not historical facts and are generally identified by the words “expects”, “anticipates”, “believes”, “intends”, “estimates” and similar expressions. 

Although Iberdrola Renovables, S.A. believes that the expectations reflected in such forward-looking statements are reasonable, investors and shareholders in Iberdrola Renovables, S.A. are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond the control of Iberdrola Renovables, S.A., that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward looking information and statements. These risks and uncertainties include those discussed or identified in the public documents sent by Iberdrola Renovables, S.A. to the Comisión Nacional del Mercado de Valores (the Spanish securities regulator, or the CNMV in its Spanish initials). 

The forward-looking statements are no guarantee whatsoever of future results and have not been reviewed bythe auditors of Iberdrola Renovables, S.A. You are cautioned not to place undue reliance on the forward looking statements, which speak only as of the date they were made. All oral or written forward-looking statements attributable to Iberdrola Renovables, S.A. or any of its board members, directors, officers, employees or any persons acting on its behalf are expressly qualified in their entirety by the cautionary statement above. All forward-looking statements included herein are based on information available on the date hereof. Except as required by applicable law, Iberdrola, S.A. does not undertake any obligation to publicly update or revise any forward-looking statements, even in the event of new information being published or new events occurring in the future.