Repsol Reports Flat H1 Adjusted Profit

Spain’s biggest energy company Repsol reported a profit of €1.133 ($1.124) bn on the first six months’ business, compared with €1.546bn in H1 2018. But last year’s figures were flattered by a €344mn gain from the sale of its interest in Naturgy. It has begun competing with Naturgy for retail energy customers. Adjusted net income was €1.115bn, in line with €1.132bn in the first six months of 2018.

Upstream was similar to last year, with profit of €646mn compared with last year’s $647mn, despite a 7% lower oil price and 3.7% less production (697,000 barrels of oil equivalent/day) with Libyan operations suspended. The Refining, Gas and LPG businesses posted lower income, the first owing to lower international margins and the second two by lower sales related to milder temperatures in Spain and the US.

In the Electricity and Gas business, Repsol has continued to enlarge its retail customer portfolio through partnerships.

Repsol has also undertaken a 5% share cancellation programme, as oil prices are better than expected when it embarked on its strategic plan, meaning a bigger dividend payment. And it is investing $50mn in a range of start-ups aimed to improve social conditions and to develop the energy transition.