Equinor Q2 Core Profit drops as expected due to lower oil prices
Equinor reported on Wednesday that its second-quarter profits fell by 13% compared to a year ago, as expected, due to the decline in oil prices, which outweighed an increase in gas.
Equinor's poll of 21 analysts predicted that the adjusted earnings for April-June would be $6.54 billion, down from $7.48 billion in the previous year.
Equinor has maintained its projections that oil and gas production will increase by 4% in this year's compared to the previous year. It also kept its forecast of capital expenditures for 2025 at $13 billion.
In a press release, CEO Anders Opedal stated that "we are on track to deliver growth in production in 2025 according to our guidance."
Equinor, like rivals Shell and BP, promised in February to increase oil and gas production while reducing investment in renewables. The company cited the challenging market conditions of the green energy transformation.
Equinor pumped 2.1 millions barrels of oil-equivalent per day in the second quarter, slightly above expectations of 2.06 million boed in an analyst poll. This is up from the 2.05 million Boed of a year ago.
In 2022, the company overtook Russia’s Gazprom to become Europe’s largest natural gas supplier when Moscow’s invasion of Ukraine disrupted decades-old energy ties.
Equinor shares have fallen by 1.5% this year compared to the 10% increase in the European energy index. (Reporting and editing by Terje Solsvik, with Nerijus Adomiaitis)
(source: Reuters)
