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Investing.com -- Uniper (ETR:UN0k) posted a sharp drop in first-quarter net profit on Tuesday, as losses from its trading and storage unit weighed heavily on results. The company said net profit for the quarter plunged 83% to €82 million ($93 million), down from €477 million in the same period last year.
The decline was mainly driven by losses related to gas volumes purchased during the energy crisis, which were later sold at lower prices. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) swung to a loss of €139 million ($157 million), compared to a profit of €885 million a year ago.
The company attributed the drop to weaker performance in fossil fuel trading, saying it reflected “reduced earnings on hedging transactions from fossil fuel trading due to the general decline in price levels.” It also noted that its Greener Commodities segment, which includes the gas portfolio, was negatively affected.
Uniper added that the first-quarter results were supported by “income from enforcement activities conducted against Gazprom (MCX:GAZP) Export,” its former main supplier, which halted gas deliveries in 2022. The utility did not elaborate further on the nature or size of that income.
Despite the downturn, the state-owned German energy company maintained its full-year guidance, projecting adjusted EBITDA for 2025 to range between €0.9 billion and €1.3 billion.