Net profit up 13,6% for the Eni group in the first nine months of 2012, to 6,3 billion. In the third quarter, the growth of the net result was 40,3% to 2,48 billion. Adjusted net profit amounted to 5,81 billion in the nine months (+6,9%); and to 1,82 billion in the quarter (+1,5%).
In the third quarter of 2012 Eni achieved an adjusted operating profit from continuing operations of €4,36 billion with an increase of 2,2% compared to the third quarter of 2011 due to the solid performance of the Exploration&Production division (+10,8%) driven by the recovery of production in Libya. In the first nine months of 2012 the adjusted operating profit of continuing operations of 14,80 billion increased by 13,9% compared to the same period of 2011 due to the same drivers of the quarter.
Technical investments in continuing operations of €3,22 billion in the third quarter (€8,87 billion in the nine months) mainly concerned the development of hydrocarbon fields and the upgrading of Saipem's fleet of construction and drilling vessels. €0,51 billion in financial investments were made in the nine months. The net cash flow from operating activities of continuing operations was 1.909 million (10.249 million in the nine months). The net cash flow from operating activities, the proceeds from disposals of 902 million and the sale of 5% of Snam (0,61 billion) recognized for the benefit of the cash flow from equity capital made it possible to mainly cover the financial requirements associated with technical investments and the payment of the 2012 interim dividend to Eni shareholders.
The reduction in net financial debt of 8.415 million compared to the end of 2011 takes into account the 10,5 billion in loans taken out by Snam from the financial system and used to repay the loans received from Eni.
Hydrocarbon production is expected to grow compared to 2011 (1,58 million boe/d in 2011 final) excluding the effect of the updated gas conversion coefficient. "The progressive recovery of Libyan production to the pre-crisis level will be mitigated by the slippage of some important start-ups, by the impact of the Elgin Franklin stop in the British section of the North Sea and by the continuous phenomena of theft and sabotage in Nigeria", explains Eni.
Gas sales are expected to be substantially in line with 2011 (96,76 billion cubic meters the final figure for 2011). In Italy, where a significant contraction in demand is expected due to the recession, the management expects to recover volumes and market share by aiming to develop the retail segment and spot sales.
“Eni achieved excellent results in the third quarter thanks to production growth, supported by the continuous improvement of activities in Libya”. This is the comment of the managing director of the group, Paolo Scaroni, on the results released today by the company.
“In the gas, refining and chemical sectors – added Scaroni – we have contained the impact of a still difficult European scenario. The disposal of the stakes in Snam and Galp strengthens our financial structure, guaranteeing us the solidity necessary to pursue the excellent growth prospects of our portfolio of development projects and our exceptional exploration successes".
