Eni Raises Guidance After 3Q Beat Expectations Despite Weaker Prices

By Giulia Petroni

Eni raised its full-year operating profit guidance after third-quarter results beat analysts' expectations, boosted by the exploration and production division.

The Italian oil major posted a quarterly profit of 1.92 billion euros ($2.03 billion) from EUR5.86 billion for the previous-year period, when energy prices soared following Russia's invasion of Ukraine.

On an adjusted basis, profit came in at EUR1.82 billion, above a company-compiled analysts' consensus of EUR1.63 billion. Adjusted operating profit was EUR3.01 billion compared with EUR5.77 billion last year and analysts' expectations of EUR2.85 billion.

Sales fell to EUR22.32 billion from EUR37.30 billion a year earlier.

Hydrocarbon production in the quarter was 1.64 million barrels of oil equivalent a day compared with 1.58 million boe/d a year earlier. Production is now expected at between 1.64 million and 1.66 million boe/d in the full year, from previous expectations of 1.63 million and 1.67 million boe/d.

Eni said it now expects adjusted operating profit for the year at around EUR14 billion, from previous expectations of EUR12 billion, reflecting improved market conditions. Cash flow from operations before working capital is seen at EUR16.5 billion compared with previous guidance of EUR15.5 billion-EUR16 billion.

Capital expenditure is estimated at around EUR9 billion for the year.

The company said its planned EUR2.2 billion buyback program is expected to be completed by April, sooner than expected.

Write to Giulia Petroni at [e-mail]

(END) Dow Jones Newswires

October 27, 2023 02:34 ET (06:34 GMT)

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