BKW lowers earnings outlook and announces 2027 tariff changes

Swiss energy company BKW has lowered its earnings outlook for 2026 following a challenging first half of the year. The company reported a 15 percent decrease in EBIT to 263.7 million Swiss francs, driven by lower hydroelectric and wind power production due to weather conditions, as well as market volatility stemming from the situation in the Middle East.

Despite the drop in EBIT, net profit rose by 7 percent to 217.6 million Swiss francs, aided by the performance of decommissioning funds for the Mühleberg nuclear power plant. BKW now expects its 2026 EBIT to fall at the lower end of its previously stated 650 to 750 million Swiss franc target range.

On the consumer side, BKW announced it will reduce basic electricity prices by an average of 7.6 percent for 2027, supported by a 29 percent drop in pure energy costs. To improve grid efficiency, the company will introduce a voluntary dynamic tariff model in early 2027, offering discounts of up to 40 percent during periods of high solar energy production.