Italian Gas-Grid Operator Snam Sees Higher Profits and Investments
- Snam raises full-year guidance after strong gas infrastructure performance
- Net profit increased to €337 million in Q1 from €304 million a year ago
- Adjusted net profit up to €335 million, revenue down 1.9% to €895 million
- Gas infrastructure business drives 18% rise in adjusted EBITDA to €703 million
- Investments target increased to €3 billion, adjusted Ebitda above €2.75 billion, and adjusted net profit around €1.23 billion
- Net debt rises to €15.79 billion from €12.87 billion
Italian gas-grid operator Snam has raised its full-year guidance after reporting a strong performance in its gas infrastructure business. The company’s net profit increased to €337 million ($366.8 million) in Q1 from €304 million in the same period last year, driven by growth in operating income and partly offsetting higher financial expenses and income taxes. Adjusted net profit reached €335 million, up from €301 million a year prior. Although quarterly revenue dropped 1.9% to €895 million due to a 65% decline in the energy transition business, it was partly offset by a 23% rise in gas infrastructure business, leading to an 18% increase in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to €703 million. Consequently, Snam upgraded its guidance for investments, targeting €3 billion, adjusted EBITDA above €2.75 billion, and adjusted net profit around €1.23 billion. Total investments increased by 48% to approximately €500 million due to higher investments in the gas infrastructure business. Net debt rose to €15.79 billion from €12.87 billion.°
Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Snam’s financial performance and updates on their guidance for the year. It includes relevant details about net profit, revenue, and investments in the gas infrastructure business without any sensationalism or personal opinions.°
Noise Level: 2
Noise Justification: The article provides relevant and accurate information about Snam’s financial performance and updates its guidance for the year. It stays on topic and supports its claims with specific numbers and comparisons.°
Public Companies: Snam (SNM)
Key People: Christian Moess Laursen (Author)
Financial Relevance: Yes
Financial Markets Impacted: Snam’s stock price and other energy infrastructure companies
Financial Rating Justification: The article discusses Snam’s financial performance, including net profit, revenue, and adjusted Ebitda, which directly impacts the company’s stock price and can affect the overall market for energy infrastructure companies.°
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the article.°
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