Meridian Energy share price: October 2025 update boosts sales and storage

Meridian Energy's October 2025 showed bumper hydro inflows and robust year-on-year retail sales growth.

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Key points

  • Meridian Energy reported a 14.6% increase in retail sales volumes year-on-year and hydro storage levels at 143% of historical averages, benefiting from wetter conditions in October 2025.
  • Despite a 17.4% rise in generation for the month, average generation prices fell by 43.9%, while residential segment sales surged 29.4%, highlighting robust retail activity.
  • As Meridian heads into summer with high storage levels, investors are keen on the potential impact of lower average prices on future earnings, and the company continues to focus on operational resilience and capital projects.

The Meridian Energy Ltd (ASX: MEZ) share price is under the spotlight today after the company released its October 2025 monthly operating report, highlighting a 14.6% jump in retail sales volumes year on year and hydro storage levels reaching 143% of historical average.

What did Meridian Energy report?

  • National hydro storage increased to 143% of historical average as of 10 November 2025
  • October 2025 total inflows were 212% of historical average
  • Retail electricity sales volumes soared 14.6% from October 2024
  • Residential segment sales climbed 29.4% year on year (including Flick customers)
  • National electricity demand rose 6.6% compared to October 2024
  • Generation in October lifted 17.4% from the same month last year, but the average generation price fell 43.9%

What else do investors need to know?

October proved wetter and windier than usual, with above-average rainfall in key catchments and gale events across both islands. This lifted Meridian's South Island storage to 148% of average and North Island storage to 121%—well above historical norms.

Notably, demand from New Zealand Aluminium Smelters Ltd surged to 567MW during October, up sharply from last year, reflecting the end of demand response exercises. Meridian also saw customer connections grow 0.2% in October and a substantial 20.7% compared to a year earlier, showing continued momentum in acquiring retail customers.

What's next for Meridian Energy?

Investors will be watching how sustained high hydro storage and strong inflows set up Meridian heading into the summer months. Although generation volumes are significantly higher, average prices for generation and supply have dropped sharply year on year, which may influence earnings profiles in coming periods.

The company continues investing in operational resilience and capital projects, with $11 million in capital expenditure during October 2025. Weekly storage data and ongoing volume growth updates can be tracked on Meridian's website for shareholders seeking more detail.

Meridian Energy share price snapshot

Meridian Energy shares have declined 4% over the past 12 months, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 7% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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