© Reuters. FILE PHOTO: The brand of Italian vitality firm Eni. Image take February 10, 2020. REUTERS/Afolabi Sotunde/File Photograph
By Francesca Landini
MILAN (Reuters) -Italian vitality group Eni on Friday reported fourth-quarter adjusted web revenue of 1.64 billion euros ($1.8 billion), beating analysts’ expectations, helped partly by a constructive arbitration final result.
Eni’s full-year web revenue totalled 8.3 billion euros, down 38% from a yr when vitality costs soared.
Eni’s fourth-quarter adjusted working revenue (EBIT) got here in at 2.8 billion euros versus the two.9 billion anticipated by analysts in a ballot offered by the corporate.
Its fuel and liquefied (GGP) division posted a record-breaking adjusted EBIT of 0.68 billion euros helped by a beneficial arbitration final result, the state-controlled group mentioned, with out offering additional element.
Sources advised Reuters final yr that Germany’s largest fuel dealer Uniper had been ordered to pay 550 million euros to Eni by an arbitration court docket over a liquefied pure fuel (LNG) provide contract that expired in 2022.
All through 2023 the GGP division exceeded the group’s steerage however this was partly offset by weak outcomes on the chemical substances division, with Eni citing slowing demand throughout all enterprise segments in addition to increased vitality and enter prices.
Eni will current its up to date technique on March 14.
“With little by way of forward-looking steerage, we see this as a impartial set of outcomes, nevertheless some buyers may even see the arbitration proceeds as ‘one-off’ in nature and contemplate the underlying outcomes disappointing,” RBC Europe analyst Biraj Borkhataria mentioned in a report.
Shares in Eni have been down 1% at 0820 GMT, underperforming a 0.6% rise in Milan’s blue-chip index.
Rivals Exxon Mobil (NYSE:), Chevron (NYSE:) and Shell (LON:) earlier this month additionally beat revenue expectations on a mixture of sturdy buying and selling outcomes and better oil and fuel manufacturing.
Shell, Chevron and TotalEnergies (EPA:) elevated their dividends whereas BP (NYSE:) elevated the speed of its buybacks.
($1 = 0.9292 euros)