Spanish oil company Cepsa swings back to profit in second quarter on higher prices
MADRID, July 29 (Reuters) -Spain's second largest oil company Cepsa said on Monday it returned to profit in the second quarter thanks to higher oil and gas prices, lower costs and wider refining margins.
The company booked a net profit of 172 million euros ($186.74 million) in the quarter, up from a net loss of 31 million euros in the same period a year ago.
The company said its oil and gas extraction business benefited from higher prices, its refining unit was lifted by wider margins that averaged $7.7 per barrel and higher production volumes at its petrochemical business.
During the first half of the year, Cepsa generated 735 million euros in cash up from 416 million euros, an important indicator for a company, which is shifting its business model from an oil company to a green energy one.
Owned by Abu Dhabi fund Mubadala and the Carlyle Group CG.O, Cepsa is investing up to 8 billion euros to shift to low carbon energy, mainly into the production of green hydrogen fuel.
($1 = 0.9211 euros)
Reporting by Inti Landauro, Editing by Louise Heavens
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
