Galp Energia's quarterly core profit rises 11%, surpassing estimates
Galp Energia, a Portuguese company, reported a 11% rise in its adjusted core profit for the third quarter on Monday. This was a better result than expected, thanks to a surge in refinery margins and a robust gas trading.
The company reported adjusted earnings before taxes, depreciation, and amortization (EBITDA), of 911 million euro ($1.06 billion), exceeding the consensus estimate of 865 millions euros.
Galp announced that the adjusted EBITDA for its refining business and gas trading business rose to 315 millions euros from 165 million euros a year ago, with the refining profit margin almost doubling to $9.5 per barley from $4.7 a year before.
It also said that the start of LNG exports from Venture Global’s Calcasieu Pass facility in Louisiana contributed to a positive increase in natural gas volume traded, which "supported a 42% growth in volumes traded".
EBITDA, the main business of the company, from securing crude oil in rich offshore fields, dropped 14% to 464 millions euros despite "good operational performances."
The share of its oil and gas projects' production in the third quarter rose by 2%, to 115,000 barrels a day. However, Brent crude prices dropped to an average price of $69.1 a barrel from $80.3 compared to last year.
Galp's net profit adjusted for inflation rose 53% in the third quarter to 407 millions euros, exceeding the estimate of 321 million euros. ($1 = 0.8575 euro) (Reporting and editing by Sumana Niandy; Sergio Goncalves)
(source: Reuters)
