MOSCOW: Russia's largest non-state gas producer Novatek is set to report record high core earnings for the fourth quarter of 2017 thanks to rising oil prices and consolidation of newly acquired assets, a Reuters poll of analysts forecast.
The company is due to report quarterly results on Wednesday.
Novatek's earnings before interest, taxes, depreciation and amortization (EBITDA) jumped by almost 19 percent in October - December, while net profit likely fell by a quarter from the year-earlier period due to a stronger euro, analysts forecast.
Urals blend oil prices increased by around 13 percent in the last quarter 2017 year-on-year thanks to a global deal to cut oil production.
Novatek's debt is mainly denominated in euro, while the company reports its earnings in roubles.
"We expect strong numbers propelled by a benign macro environment (a further oil price rally in the fourth quarter, along with a positive export duty lag) and consolidation of newly acquired gas producing assets and the launch of Yamal LNG's first train," Aton brokerage said in a note to clients.
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