Spain’s Gas Natural posts 45% fall in first-half profit on free market sting
Spain’s former gas monopoly, Gas Natural, on Thursday reported a 45% drop in first-half profit to EUR 305.8 on the impact of liberalisation in its home market, notably the reduction of its 100% stake in gas transport company Enagas to 41% during the same period last year. Discounting the stake sale, Gas Natural said its net profit would have increased by 12%.
Spain’s opening of its gas market to competition in January has led to a 10.6% year-on-year fall in sales for the gas firm, which has a market share in that country of more than 70%.
Recovery in the strength of the Argentine peso and a 9.4% rise in demand in Latin America had offered some support to the result, Gas Natural added in a statement.
Earnings before interest, tax, depreciation and amortisation (EBITDA) fell 29% to EUR 600.2 million, but without the Enagas sale it would have been up 9%. CI
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