London, 30 October 2025 – Italgas CEO Paolo Gallo is presenting the Group’s 2025–2031 Strategic Plan, “Shaping a New Energy” today to analysts and investors, approved by the Company’s Board of Directors, chaired by Paolo Ciocca.
Highlights
- Total investments of 16.5 billion euros, up +5.7%, or +10.2% e8cluding 2i Rete Gas acquisition and tenders, of which:
- 2 billion euros for the development, digitization and repurposing of gas infrastructures in Italy and Greece, as well as the acquisition and upgrade of the 2i Rete Gas network
- 5 billion euros for upcoming ATEM tenders1
- 8 billion euros overall to reinforce the positioning in the water and energy efficiency sectors
- 250 million euros of total efficiencies2, to which an additional 100 million euros revenues generated by incremental digitization investments are added
- EBITDA of 3.0 billion euros in 2031, with a total RAB over 20 billion euros
- 10% CAGR EPS adjusted growth in 2024-20313
- Improved 2025 guidance
- Dividend policy: extended through 2028, confirmed the higher of a 65% payout and the annual DPS growth of 5%, with a new starting point equivalent to 2024 DPS
Total planned investments in the Plan amount to 16.5 billion euros (including the amount for the acquisition of 2i Rete Gas), with an increase of 900 million euros (+5.7%) compared to the previous Plan. Excluding 2i Rete Gas acquisition, the related disposals and tenders, the increase is equal to 10.2%.
Investments are mainly driven by the development of gas distribution activities in Italy and Greece, as well as by the technological and digital upgrade of the new networks acquired to make them increasingly smart, digital and flexible, enabling them to accommodate increasing shares of renewable gases such as biomethane, hydrogen and synthetic methane, while at the same time supporting energy systems stability.
By 2031, approximately 250 million euros in EBITDA benefits are expected from the combination of industrial synergies, efficiencies, increased insourcing of core industrial activities, and AI-driven transformation, compared to the combined 2023 base of the two Groups. This figure is significantly higher the Previous Plan, which estimated 200 million euros of overall savings. In addition to these benefits, the digitization program for 2i Rete Gas assets is expected to generate more than 100 million euros in additional revenues by 2031 (80 millions euros in the previous Plan).
The 2i Rete Gas acquisition, combined with planned incremental organic investments and operating efficiencies, is expected to drive EBITDA that is expected to reach 3.0 billion euros by 2031, representing a 12% CAGR versus 2024. Adjusted EPS, which also reflects the impact of the capital increase completed under more favourable conditions than anticipated last year, is expected to grow by 10% CAGR, compared to 2024 earnings
4.
Thanks to improved operating cashflow generation, the Group now expects to reach a leverage level aligned with the commitments undertaken with rating agencies almost a year earlier than the Previous Plan.
The dividend policy has been extended to 2028, with an improved reference base for the minimum annual growth guarantee of 5%. The new base is set at the 2024 DPS of €0.406 (versus the previous reference of 2023 DPS), while confirming the 65% payout ratio
5. The new floor implies an implicit growth in the dividend per share, based on 2025 earnings, of at least 11.7% compared to the 2024 dividend adjusted for the application of IAS 33.
At the opening of the event, the Chairman of Italgas,
Paolo Ciocca, commented:
“Even in its new role as Europe’s leading gas distribution company, serving around 13 million customers, Italgas reaffirms its commitment to connecting industrial innovation with the energy transition. However, Italgas’ strength lies not only in its size but in its ability to envision the future, transform it into infrastructure, and put it at the service of communities. We are guided by a vision based on innovation, technological neutrality, and long-term value.”
The CEO of Italgas,
Paolo Gallo, stated:
“The 2025–2031 Strategic Plan with 16.5 billion euros in investments, up 900 million euros compared to the previous Plan, is the most significant in the Group’s 188-year history. This milestone reflects both the acquisition of 2i Rete Gas and the Group’s industrial vision.
The shorter timeline for closing the transaction, just 90 days for the merger of 2i Rete Gas, and the deeper understanding of the acquired company now allow us to revise upward the guidance for the coming years.
Thanks to the collaborative spirit of our people, in just three months we have migrated data and operational processes to Italgas’ IT systems, streamlined staff structures and territorial organization, and identified the activities that will enable us to achieve ambitious synergy targets.
In the Water and Energy Efficiency’ sectors, where nearly 800 million euros are allocated, we will apply the best digital and Artificial Intelligence solutions developed for the gas distribution sector. In the Water sector, our goal is to step-up investments to reduce losses and improve management through network digitization. In energy efficiency, our focus is on providing increasingly advanced solutions in the sectors where we operate.
Technological innovation, digital transformation, and the widespread use of Artificial Intelligence are the hallmarks of the Italgas Group across all its activities. These elements are combined with the passion and expertise of Italgas’ people, who become the true driving force behind the Group’s growth”.
1 Without considering disposals in line with AGCM provision
2 Compared with the combined base of the two Groups at 31 December 2023.
3 Applying IAS 33 and a preliminary Purchase Price Allocation (PPA).
4 Applying IAS 33 and a preliminary Purchase Price Allocation (PPA
).
5 For comparison purposes between the two scenarios, the DPS based on the payout will be calculated using the number of shares outstanding as at 31 December of each year
