Last close As at 05/08/2026
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▲ 0.05 (0.38%)
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EUR3,986m
Research: Energy & Resources
HELLENiQ ENERGY’s Q324 results were held back by a weak refining environment, as previously guided by the company, but showed an impressive operational performance. The company noted that the Q424 refining margin is likely to be $2/bbl to $3/bbl above the average for Q3. Q3 refining sales volumes of 4.163m tonnes were up 8% y-o-y, adjusted EBITDA of €183m was down 54% y o y and adjusted net income of €49m was down 77% y-o-y. HELLENiQ’s Q324 benchmark refining margin declined to $3.6/bbl, from $5.5/bbl in Q224, as anticipated by the company at the Q2 results, and at its lowest level since 2021. HELLENiQ announced a €0.2 per share dividend to be paid in January 2025, implying an interim yield of c 3.0%. Management was more confident on the Q424 outlook, expecting a better market and potentially some progress on its DEPA and ELPEDISON business associations that might continue the streamlining of the group.
HELLENiQ ENERGY |
Margins troughed in Q3, expect Q4 improvement |
Q324 results |
Oil and gas |
19 November 2024 |
Share price performance
Business description
Analysts
HELLENiQ ENERGY is a research client of Edison Investment Research Limited |
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HELLENiQ ENERGY’s Q324 results were held back by a weak refining environment, as previously guided by the company, but showed an impressive operational performance. The company noted that the Q424 refining margin is likely to be $2/bbl to $3/bbl above the average for Q3. Q3 refining sales volumes of 4.163m tonnes were up 8% y-o-y, adjusted EBITDA of €183m was down 54% yoy and adjusted net income of €49m was down 77% y-o-y. HELLENiQ’s Q324 benchmark refining margin declined to $3.6/bbl, from $5.5/bbl in Q224, as anticipated by the company at the Q2 results, and at its lowest level since 2021. HELLENiQ announced a €0.2 per share dividend to be paid in January 2025, implying an interim yield of c 3.0%. Management was more confident on the Q424 outlook, expecting a better market and potentially some progress on its DEPA and ELPEDISON business associations that might continue the streamlining of the group.
Year end |
Revenue (€bn) |
PBT* |
EPS* |
DPS |
P/E |
Yield |
12/21 |
9.2 |
407 |
1.1 |
0.1 |
6.2 |
1.4 |
12/22 |
14.5 |
1,420 |
2.9 |
1.2 |
2.3 |
17.6 |
12/23 |
12.8 |
604 |
1.6 |
0.9 |
4.3 |
13.2 |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.
The Q324 results were characterised by a market that in terms of benchmark margins was at its lowest since 2021, before the outbreak of the Ukraine war that precipitated wholesale change in the European market, but HELLENiQ reported a positive operational performance driven by company initiatives across several sectors. Despite Q3 benchmark margins that averaged $3.6/bbl, lower even than the recent trough of $4.4/bbl in Q223, the company generated adjusted EBITDA of €183m, down 54% compared to Q323, when refining margins were $12.6/bbl, which was the margin peak since 2021. Q324 reported net income was a loss of €198m, compared to a €300m profit Q323, however the Q324 result included a one-off ‘solidarity tax’ impact of €173m.
HELLENiQ’s Refining, Supply and Trading business generated a 6% y-o-y increase in production to 4.317m tonnes, with all refineries apart from Elefsina showing an increase. Exports, Aviation & Bunkering and Domestic all saw an increase in sales year-on-year. The Domestic Marketing business saw sales drop 6% y-o-y to €1,017m, but due to increased volume of 8% y-o-y across the various segments, adjusted EBITDA for this business increased 17% y-o-y to €36m. Within that, volumes were up 5% y-o-y in Autos, up 8% in Aviation and up 6% in Bunkers. International Marketing saw sales fall 5% y-o-y to €534m, although adjusted EBITDA saw an increase of 13% y-o-y to €26m. The Renewables business had a good quarter with installed capacity reaching 384GW, up 8% y-o-y, sales up 10% to €17m and EBITDA up 5% to €13m. The company commented that it expects to add an additional 120MW in photovoltaic parks by year end, and the longer-term target capacity is 1GW by 2026 and 2GW by 2030.
HELLENiQ made positive comments about its DEPA and ELPEDISON businesses, expecting a solution to the ownership situations in the near future, as soon as Q4 for DEPA, and perhaps even in the next few weeks in the case of ELPEDISON.
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Research: TMT
Nanoco has issued a circular recommending that shareholders vote against both resolutions being proposed by Milkwood in its requisition for a general meeting (scheduled for 11:30am on 13 December 2024). We summarise the board’s key arguments below.