Eni Recorded a Decline in Net Profit and Operating Income in the Fourth Quarter, Caused by Lower Oil and Natural Gas Prices. The Italian Oil and Gas Company Announced on Friday That Net Profit Fell to 149 Million Euros from 627 Million Euros Compared to the Fourth Quarter of 2022.

The adjusted net profit fell from 2.49 billion euros to 1.64 billion euros, while the adjusted operating profit dropped by 23% to 2.77 billion euros, reported Eni. The adjusted operating profit before taxes amounted to a total of 3.17 billion euros, a decrease of 27%.

The company stated that the decline in crude oil and natural gas prices, as well as a slowdown in demand in the chemicals business, have weighed on the results. Also, the results from joint venture partnerships have put pressure on the outcome, according to Eni.

The revenue from business operations for the quarter amounted to 24.62 billion euros, corresponding to a decrease of 22% compared to the previous year, according to Eni. According to the Visible Alpha consensus estimate of analysts, revenues of 26.78 billion euros were expected for the fourth quarter.

The adjusted profit before interest and taxes stood at 3.755 billion euros for the quarter, a decrease of 27% compared to the previous year, but above the estimate of 2.68 billion euros that emerged from a survey by FactSet among six analysts.

The result was driven by solid performance in exploration and production, a record quarter in gas extraction, and a positive contribution from Plenitude's renewable energy business. Hydrocarbon production increased by 6% to 1.7 million barrels of oil equivalent per day.