Equinor Raises Buyback as Earnings Boosted by High Oil and Gas Prices

By Dominic Chopping

Equinor ASA on Wednesday posted higher-than-expected third-quarter adjusted earnings and raised the size of its share buyback as it benefited from the higher oil and gas prices during the quarter.

The company, which is 67%-owned by the Norwegian state, said adjusted earnings--its preferred measure--rose to $9.77 billion from $780 million, against $8.36 billion expected in a company-compiled consensus.

It reported a net profit of $1.41 billion from a loss of $2.13 million a year earlier, as revenue more than doubled to $23.11 billion.

Analysts polled by FactSet had expected a net profit of $2.47 billion on revenue of $22.28 billion.

"The current unprecedented level and volatility in European gas prices underlines the uncertainty in the market...we have taken steps to increase our gas exports to respond to the high demand," Chief Executive Anders Opedal said.

Equinor announced a third-quarter dividend of $0.18 and said it has decided to increase the size of the second tranche of the share buyback program, to $1 billion from an indicative level of $300 million.

The company delivered total equity production of 1.996 million barrels of oil equivalent a day in the quarter from 1.994 million barrels last year.

Organic capital expenditure and production guidance was maintained.

Write to Dominic Chopping at [e-mail]

(END) Dow Jones Newswires

October 27, 2021 01:52 ET (05:52 GMT)

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