Snam Reports Strong Q1 2025 Growth, Boosts European Presence and Sustainability Drive

Snam closed the first quarter of 2025 with an EBITDA growth of 8.3% and an adjusted net profit of 406 million euros, up 21.2% compared to the first quarter of 2024. Total revenues reached 970 million euros (+8.3%) , driven by the increase in RAB and investments in gas infrastructure , despite the impact of the reduction in WACC and output-based incentives, linked to operating performance.

Among the most significant transactions, Snam has successfully completed the commissioning of the regasification vessel BW Singapore , which will start commercial operations in May. Furthermore, it has signed the agreement for the acquisition of 24.99% of Open Grid Europe, the leading independent gas transmission operator in Germany, strengthening its presence in the European market.

Snam investments

In the first quarter, Snam invested 361 million euros, a decrease of 22% compared to 2024 due to the completion of the works for the Ravenna LNG terminal and the higher contributions for recovery. These investments are 28% aligned with the SDGs (Sustainable Development Goals), while 52% meet the criteria of the European Taxonomy.

Progress in implementing Snam’s sustainability plan

During the first quarter of the year, Snam made progress in implementing its sustainability plan , with new targets for 2025 and 2029 set in the annual update of the Sustainability Scorecard. The company continued to make progress not only in its internal activities, but also in its advocacy efforts , with a Snam representative elected to the Executive Committee of the Italian network of the UN Global Compact.

The first part of the year was dedicated to the preparation of the first CSRD-compliant sustainability statement , developed around 7 standard ESRS topics and 4 company-specific topics, covering 176 KPIs.

This new document completes a set of reports that includes the Transition Plan (which was presented in October 2024 and will be updated by the next Shareholders’ Meeting, to reflect the Strategic Plan 2025-2029) and the Sustainability Profile (also published before the General Shareholders’ Meeting).

The company has also committed to be among the first companies to adopt the TNFD framework, as a further sign of attention to the issue of biodiversity.

In the first quarter, the Sustainable Finance Framework was updated to reflect the latest internal developments and to further align with best practices and market standards, such as standardization of KPIs. The Framework has been designed for the first time with a dual structure, combining the Green and Sustainability-Linked formats, in order to maximize flexibility and impact in pursuing corporate sustainability objectives and alignment with market standards.

The Green format allows for targeted investments in projects aligned with the EU Taxonomy. The Framework is fully aligned with both the EU Taxonomy and the Green Bond Principles defined by ICMA, further strengthening the credibility and transparency of Snam’s approach. Furthermore, it allows for future issuances compliant with the EU Green Bond Standards.

A Second Party Opinion, issued by ISS, confirms the alignment with the ICMA Green Bond Principles, the LMA Green Loan Principles and the EU Taxonomy. In parallel, the Sustainability-Linked structure reinforces Snam’s long-term commitment to decarbonisation and social progress, integrating ambitious targets into the financial instruments.

The framework includes a carbon neutrality target by 2040 for Scope 1 and 2 emissions and a net zero target by 2050 for all types of emissions. A Second Party Opinion, issued by Moody’s, assigned an SQS3 “Good” score, also with reference to the Net Zero Assessment published in 2024.

During the first quarter of 2025, Snam was also awarded the “Sustainable Issuer of the Year” recognition by IFR (International Financing Review).

At the same time, the Climate Disclosure Project (CDP) has assigned Snam a B rating, which is currently under possible review following requests for clarification made by Snam in March.

Storage sector and growth in biomethane

In the storage sector, Snam reported a 47% fill in April , with 90% of its storage capacity for 2025/2026 already allocated. In the biomethane sector , the company obtained 14 new projects in the GSE auction, strengthening its role in the energy transition.

“The results of the first quarter of 2025 are very important: in addition to the economic and financial growth, we have consolidated our pan-European strategy with the acquisition of Open Grid Europe and the full start-up of the Ravenna regasification plant,” concluded Stefano Venier, CEO of Snam.

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(Featured image by Ibrahim Boran via Unsplash)

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