Uniper made a strong return to profitability in the previous year, but the energy market’s uncertain future has cast a shadow over its upcoming earnings. The German gas importer anticipates lower earnings in 2024, reflecting a downward trend in energy prices that is also impacting its European counterparts.
Projected Earnings for 2024
Uniper announced that it foresees adjusted earnings before interest, taxes, depreciation, and amortization for 2024 to range between 1.5 billion euros ($1.63 billion) to EUR2 billion. Additionally, the company expects an adjusted net profit ranging from EUR0.7 billion to EUR1.1 billion.
Recap of 2023 Performance
For the full year of 2023, Uniper’s results aligned with its preliminary figures released on Feb. 15. The company reported an adjusted net profit of EUR4.43 billion euros, a significant turnaround from the EUR7.40 billion loss in the previous year.
Financial Provisions and Transformations
In preparation for a payment to the German government in 2025 as reimbursement for aid during the energy crisis, Uniper recorded a provision of EUR2.2 billion for 2023. The company’s financial performance saw a notable improvement, with adjusted earnings before interests and taxes reaching EUR6.37 billion compared to the previous year’s loss of EUR10.88 billion. This positive outcome can be attributed to strategic hedging transactions in electricity generation and gas midstream operations.
It’s evident that Uniper is navigating challenges in the energy landscape while maintaining financial stability and adapting to market dynamics.
Helena Smolak