Latest News

Italian energy firm ERG reports profit get on brand-new assets

Italian energy business ERG on Friday published a 9% jump in secondquarter changed core earnings, citing contributions from new energy possessions, and said its new company strategy was on track.

The group's 116 million euro ($ 127 million) changed core revenue was mainly attributable to refitting and modernising power plants in Italy, where core profit grew around 20% to 81 million euros.

The United States, which added to ERG results for the first time following a partnership with Pinnacle Clean Energy agreed in December, accounted for 12 million euros of core revenue, it stated.

ERG was among Italy's leading oil business before moving its focus to renewable energy. Following an asset rotation completed in 2023, it now creates power from wind and solar sources.

Under a new organization strategy revealed in May, ERG promised to pay a dividend of up to 1.3 euros ($ 1.42) and invest approximately 1.2 billion euros.

The advancement of our portfolio continues in line with the brand-new company plan, Chief Executive Paolo Merli stated in a. teleconference.

Increasing volumes were balanced out by electricity prices that. dropped from the high levels of the exact same duration in 2015, an. result noticeable generally in foreign market, he added.

ERG confirmed its guidance for 2024, that includes core. profit of 520-580 million euros, capital expenditure of 550-600. million euros and net financial debt of 1.75-1.85 billion euros.

At 1446 GMT the stock was up 0.5%, trading at 24.82 euros.

In general, energy production in the second quarter increased 42% to. 1,723 gigawatt-hours, with around 80% of the total originating from. wind and the remaining 20% from solar.

Adjusted net earnings can be found in at 106 million euros, a little. down from 114 million euros the same duration in 2015,. reflecting greater amortisation, depreciation and monetary. costs associated with brand-new assets consolidation, ERG stated.

The removal of a tax benefit in Italy likewise affected the. adjusted net result, it stated.

(source: Reuters)