OMV reports drop in Q2 earnings as oil, gas prices fall

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OMV reports stronger-than-forecast earnings drop in Q2

BERLIN :OMV on Friday posted lower-than-expected core earnings in the second quarter of 2023 due to lower contributions from all business sections as it forecast lower prices for oil and gas.

The Austrian company reported a clean current cost of supplies operating result of 1.18 billion euros for the April-to-June period, down 60 per cent on the same period a year prior. Analysts had forecast a second-quarter clean CCS operating result of 1.27 billion euros, according to a company-provided consensus.OMV and the Abu Dhabi National Oil Co are exploring the possibility of merging two entities owned by the companies to create a chemicals giant with combined annual sales of more than $20 billion.

The company lowered its forecast for the average Brent crude oil price this year to $75-80 per barrel, from a previous forecast for above $80 per barrel. OMV, which is in talks with the state-owned Abu Dhabi National Oil Company for a possible merger of their petrochemical divisions, confirmed its group outlook for organic capital expenditure of around 3.8 billion euros in 2023.

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