Group 1 - Eni S.p.A. has entered a partnership with Global Infrastructure Partners, granting GIP a 49.99% co-control stake in Eni CCUS Holding, marking a significant advancement in carbon capture, utilization, and storage (CCUS) solutions across Europe [1][8] - Eni CCUS includes key projects such as Liverpool Bay and Bacton in the UK, the L10 project in the Netherlands, and an option for the Ravenna CCS project in Italy, aimed at decarbonizing industrial clusters by capturing and storing CO2 emissions [2][8] - The partnership will leverage GIP's infrastructure expertise and Eni's operational know-how to accelerate CCUS deployment, addressing the demand for affordable, low-carbon energy solutions [3][6] Group 2 - Eni's CEO, Claudio Descalzi, emphasized that consolidating the CCUS portfolio and partnering with GIP enhances growth prospects and validates the attractiveness of Eni's decarbonization platforms to external investors [4] - CCUS is recognized as a scalable solution for decarbonizing heavy industries, enabling sectors like steel and cement to align with climate targets while maintaining competitiveness [5] - GIP highlighted that the energy transition represents a generational investment opportunity, with over $100 trillion needed globally, positioning CCUS as a critical component of this shift [6]

Company Performance - Array Technologies, Inc. (ARRY) has shown a year-to-date performance increase of approximately 26.2%, significantly outperforming the average gain of 1.7% in the Oils-Energy sector [4] - The Zacks Consensus Estimate for ARRY's full-year earnings has increased by 5.6% over the past quarter, indicating improved analyst sentiment and a more positive earnings outlook [3] Industry Comparison - Array Technologies, Inc. is part of the Solar industry, which includes 15 companies and currently ranks 94 in the Zacks Industry Rank. The average gain for this group is 5.7% this year, suggesting that ARRY is performing better than its peers [5] - In contrast, Eni SpA, another stock in the Oils-Energy sector, has a year-to-date return of 28.7% and belongs to the Oil and Gas - Integrated - International industry, which is ranked 152 and has moved up by 3.3% this year [4][6]

Core Insights - The article emphasizes the importance of value investing as a successful strategy across various market conditions, focusing on fundamental analysis and traditional valuation metrics to identify undervalued stocks [2][4]. Company Analysis - Eni (E) is highlighted as a strong investment opportunity, currently holding a Zacks Rank of 1 (Strong Buy) and a Value grade of A [4]. - Eni's P/E ratio stands at 10.67, which is lower than the industry average of 11.99, indicating potential undervaluation [4]. - The Forward P/E ratio for Eni has fluctuated between 6.79 and 10.97 over the past year, with a median of 7.77, further supporting its value proposition [4]. - Eni's P/B ratio is 0.98, significantly lower than the industry average of 1.54, suggesting that the stock is undervalued relative to its book value [5]. - The P/CF ratio for Eni is 5.02, which is attractive compared to the industry average of 6.43, indicating strong operating cash flow relative to its valuation [6]. - Overall, Eni's financial metrics suggest it is likely undervalued, combined with a strong earnings outlook, making it an impressive value stock [7].

Core Viewpoint - The article emphasizes the importance of shareholder yield as a key metric for investors, combining dividend yield, share buybacks, and net debt reduction to assess how effectively a company returns capital to its shareholders [2][4][5]. Shareholder Yield Components - Dividends provide a steady income stream and signal management's confidence in financial health, contributing significantly to total equity returns, especially in sideways or bear markets [3][6]. - Share buybacks reduce share count, enhancing per-share metrics like earnings and cash flow, which is particularly beneficial in low-growth environments [3][4]. - Debt reduction improves balance sheet strength and reduces default risk, enhancing resilience during economic downturns, thus benefiting investors through both capital returns and improved financial positioning [4][5]. Investment Opportunities - Companies with high shareholder yield, such as Eni, BanColombia, Columbia Banking System, Donaldson, and W.P. Carey, are highlighted as attractive options for investors seeking income and capital appreciation [4][8][18]. - Eni offers a competitive dividend yield of approximately 4.46%, with a 10-time increase in dividend payout over five years, reflecting a 28.1% annualized growth rate [9][10]. - BanColombia, with an 11.49% dividend yield, has increased its payout eight times in five years, showing a 71.36% annualized growth rate [12][13]. - Columbia Banking System provides a 5.62% dividend yield, with a 7.2% annualized growth rate over two increases in five years [14][15]. - Donaldson has a 1.64% dividend yield, with a 6.26% annualized growth rate over five increases in five years [16][17]. - W.P. Carey offers a 5.53% dividend yield, having increased its payout 20 times in five years despite a negative annualized growth rate of 4.64% [18][19][20]. Financial Stability and Management - Companies with high shareholder yield tend to exhibit disciplined capital allocation and align management interests with those of investors, avoiding expensive acquisitions and value-destructive expansions [5][7]. - Empirical studies indicate that portfolios focused on shareholder yield outperform broader market indices over the long term, often with lower volatility [5][6].

Exploration and Development - Ivory Coast and Eni SpA signed a contract for a new offshore oil-exploration block acquisition [1]

[Report on the Purchase of Treasury Shares](index=4&type=section&id=Eni%3A%20report%20on%20the%20purchase%20of%20treasury%20shares%20during%20the%20period%20from%2021%20to%2025%20July%202025) This report details Eni's treasury share purchases from July 21 to July 25, 2025, including daily and cumulative program status [Summary of Share Purchases (July 21-25, 2025)](index=4&type=section&id=Summary%20of%20Share%20Purchases%20%28July%2021-25%2C%202025%29) Eni acquired 3,494,960 treasury shares (0.11% of share capital) for approximately €50 million on Euronext Milan, part of a program approved on May 14, 2025 Treasury Share Purchases (July 21-25, 2025) | Metric | Value | | :--- | :--- | | **Shares Acquired** | 3,494,960 | | **Percentage of Share Capital** | 0.11% | | **Weighted Average Price per Share** | €14.3063 | | **Total Consideration** | €49,999,996.86 | - The share purchase program was executed under the authorization granted by the Shareholders' Meeting on May 14, 2025[7](index=7&type=chunk) [Cumulative Buyback Program Status](index=4&type=section&id=Cumulative%20Buyback%20Program%20Status) Since May 20, 2025, Eni has acquired 35.66 million shares (1.13% of share capital) for €490 million, bringing total treasury stock to 127.27 million shares (4.04%) Cumulative Buyback Program Status as of July 25, 2025 | Metric | Value | | :--- | :--- | | **Shares Acquired Since May 20, 2025** | 35,658,286 | | **Percentage of Share Capital Acquired** | 1.13% | | **Total Consideration Since Start** | €490,005,718.64 | | **Total Treasury Shares Held** | 127,268,613 | | **Total Percentage of Share Capital Held** | 4.04% | [Detailed Daily Transactions](index=4&type=section&id=Detailed%20Daily%20Transactions) This section provides a daily summary and comprehensive list of individual treasury share transactions from July 21 to July 25, 2025 Daily Summary of Treasury Share Purchases (Euronext Milan) | Trade date | Transaction quantity | Transaction weighted average price (euro) | Transaction amount (euro) | | :--- | :--- | :--- | :--- | | 21/07/2025 | 705,913 | € 14.1660 | € 9,999,994.62 | | 22/07/2025 | 705,800 | € 14.1551 | € 9,990,682.99 | | 23/07/2025 | 722,384 | € 14.3230 | € 10,346,722.65 | | 24/07/2025 | 663,388 | € 14.4012 | € 9,553,602.50 | | 25/07/2025 | 697,475 | € 14.4937 | € 10,108,994.10 | | **Total** | **3,494,960** | **€ 14.3063** | **€ 49,999,996.86** | - The report includes a complete list of all individual daily transactions for the period from July 21 to July 25, 2025[9](index=9&type=chunk)

Core Insights - Eni S.p.A reported second-quarter 2025 adjusted earnings of 79 cents per American Depository Receipt, exceeding the Zacks Consensus Estimate of 67 cents, but down from 98 cents in the same quarter last year [1][10] - Total revenues for the quarter were $21.7 billion, surpassing the Zacks Consensus Estimate of $20.7 billion, although this represents a decline from $24.8 billion a year ago [1][10] Operational Performance - Eni operates through four business segments: Exploration & Production, Global Gas & LNG Portfolio and Power, Refining and Chemicals, and Enilive and Plenitude [3] Exploration & Production - Total oil and gas production was 1,668 thousand barrels of oil equivalent per day, a decrease of 3% from 1,712 Mboe/d in the prior-year quarter [4] - Liquids production increased by 6% to 825 thousand barrels per day, while natural gas production fell to 4,415 million cubic feet per day, down from 4,888 mmcf/d a year ago [4] - The average realized price of liquids was $62.77 per barrel, down 19% from $77.25 a year ago, and the realized natural gas price was $7.14 per thousand cubic feet, down 2% from $7.26 [5] - The Exploration & Production segment reported a pro-forma adjusted EBIT of €2.4 billion, a decline of 33% from €3.6 billion in the second quarter of 2024, impacted by asset divestitures and natural declines in mature fields [6] Global Gas & LNG Portfolio and Power - Worldwide natural gas sales totaled 9.01 billion cubic meters, down 4% year over year, primarily due to lower wholesale segment sales [7] - The segment reported a pro-forma adjusted EBIT of €387 million, reflecting a 9% increase from €356 million in the prior year [8] Refining and Chemicals - Total refinery throughputs were 6.38 million tons, up from 5.82 million tons in the corresponding period of 2024 [9] - Petrochemical product sales decreased by 5% year over year to 0.72 million tons [9] - The segment reported a pro-forma adjusted negative EBIT of €193 million, flat year over year, affected by lower throughput volumes and refining margins [11] Enilive & Plenitude - Retail gas sales managed by Plenitude declined by 7% year over year to 0.68 billion cubic meters [12] - Plenitude's installed renewable capacity increased to 4.5 GW from 3.1 GW a year ago [12] - The segment reported a pro-forma adjusted EBIT of €262 million, down from €278 million a year ago, impacted by weaker biofuel margins [12] Financials - As of June 30, 2025, Eni had long-term debt of €19.8 billion and cash and cash equivalents of €9.2 billion [13] - Net cash generated by operating activities was €3.5 billion, with capital expenditures totaling €1.95 billion [13] Outlook - Eni expects full-year gross capital expenditures to be below €8.5 billion, down from prior guidance of approximately €9 billion [14] - Oil and gas production for 2025 is projected to be around 1.7 million barrels of oil equivalent per day, with third-quarter production expected in the range of 1.70-1.72 million boe/d [14]

Financial Data and Key Metrics Changes - The company reported production of 1,670,000 barrels per day, consistent with guidance, and EBIT for the quarter was approximately €1,700,000,000, with pro forma EBIT of €2,400,000,000 [11] - Cash flows before working capital for the quarter were €2,800,000,000, totaling €6,200,000,000 for the half year, maintaining efficient conversion of earnings into cash [13] - Net debt decreased to €10,200,000,000, which is €2,000,000,000 lower than year-end 2024, with leverage at 19%, the lowest level in company history [14] Business Line Data and Key Metrics Changes - In the Upstream segment, the company discovered approximately 600 million barrels of oil equivalent of new resources, with significant projects in Norway and Angola contributing to production growth [5][6] - Transition businesses, including Plenitude and Eni Life, are expected to see EBITDA close to tripling between 2024 and 2030, with Plenitude's renewable capacity projected to grow by over 30% year-on-year [7][8] - Versalis showed improvement quarter-on-quarter but remains significantly loss-making, with a turnaround in EBIT expected to approach €1,000,000,000 by the end of the full-year plan [10][12] Market Data and Key Metrics Changes - The refining operations improved on Q1 due to better margins, although impacted by downtime at key assets [12] - The company expects to grow cash flow from operations (CFFO) in 2025 to €11,500,000,000, which is €500,000,000 higher than previous guidance [18] - The company anticipates a strong ramp-up in production in the second half of the year, with guidance for production to reach between 1.7 million and 1.72 million barrels per day [17] Company Strategy and Development Direction - The company aims to grow CFFO by around 40% by 2030 and improve return on capital employed, focusing on shareholder returns through dividends and share buybacks [4] - The strategy includes integrating equity gas production into the LNG chain and building complementary energy businesses related to decarbonization [4][5] - The company is advancing its upstream satellite model, which is expected to create significant cash flow and strategic options, particularly in Indonesia and Malaysia [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational momentum and positive outlook for the second half of the year, driven by production ramp-ups and new renewable power generation capacity [17][18] - The company is focused on maintaining a strong balance sheet and leveraging new partnerships to enhance operational efficiency and cash flow [63][66] - Management acknowledged the challenges in the chemical sector but expects slight improvements in margins and performance [84] Other Important Information - The company has signed a significant contract with Venture Global for U.S. LNG, which is expected to complement its portfolio of contracted volumes [23][27] - The company is pursuing a binding offer for Atea Energia, which aligns with its strategy to increase its customer base in the power sector [73] - The company is not interested in the Galp process in Namibia, focusing instead on its existing resources and exploration wells [76] Q&A Session Summary Question: Can you elaborate on the terms of the contract with Venture Global? - The company cannot comment on third-party contracts but finds the project competitive and complementary to its portfolio [26][27] Question: What is the status of the asset sale to Vitol? - The closing will consider production cash and investment ramp-up, with adjustments made at the time of closing [33][34] Question: What is the outlook for the tax rate? - The tax rate is expected to be closer to 50%, driven by the conversion of loss-making businesses into profitable ones [41][42] Question: Can you provide an update on the YPF Argentina project? - The plan is to have an FID by Q1 2026, with necessary agreements to be finalized by the end of the year [54][97] Question: What are the expectations for the buyback program? - The company is considering an increase in the buyback program, depending on the positive trend in financial performance [56][92]

Financial Data and Key Metrics Changes - The company reported production of 1,670,000 barrels per day, consistent with guidance, and EBIT for the quarter was approximately €1,700,000,000, with pro forma EBIT expected to be around €2,400,000,000 [11][12] - Cash flows before working capital for the quarter were €2,800,000,000, totaling €6,200,000,000 for the half year, maintaining efficient conversion of earnings into cash [13] - Net debt decreased to €10,200,000,000, which is €2,000,000,000 lower than year-end 2024, with leverage at 19%, the lowest level in company history [14] Business Line Data and Key Metrics Changes - In the Upstream segment, the company discovered approximately 600,000,000 barrels of oil equivalent of new resources, with significant projects in Norway and Angola contributing to production growth [4][5] - Transition businesses, including Plenitude, are expected to see EBITDA close to tripling between 2024 and 2030, with renewable capacity growth projected to exceed 30% year-on-year [6][7] - Versalis showed improvement quarter-on-quarter but remains significantly loss-making, with a turnaround in EBIT expected to approach €1,000,000,000 by the end of the full-year plan [10][12] Market Data and Key Metrics Changes - The refining operations improved due to better margins, although impacted by downtime at key assets [12] - The company expects to grow cash flow from operations (CFFO) to €11,500,000,000 in 2025, which is €500,000,000 higher than previous guidance [19] - The company anticipates a strong production ramp-up in the second half of the year, with guidance for production to reach between 1.7 million and 1.72 million barrels per day [18] Company Strategy and Development Direction - The strategic focus includes delivering efficient competitive growth in Upstream, integrating equity gas production into the LNG chain, and building complementary energy businesses related to decarbonization [2][3] - The company aims to grow CFFO by around 40% by 2030 and improve return on capital employed, driving shareholder returns through a competitive dividend and share buyback program [3][4] - The combination with Petronas in Indonesia and Malaysia is expected to create a leading regional player with significant growth potential in gas demand [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the operational momentum and positive outlook for the second half of the year, with expectations for a promising 2026 [19] - The company highlighted the importance of cash management initiatives and the adaptability of its satellite model to enhance efficiency and reduce costs [60][62] - Management noted that the current market conditions are conducive for continued strong performance in gas trading, despite volatility [112] Other Important Information - The company has identified an additional €1,000,000,000 in cash initiatives to be captured by the end of the year, raising the total benefit to €3,000,000,000 [13] - The company is advancing its biorefinery projects, with four additional projects in the pipeline, two of which are located in the Asian market [6][7] - The company is focused on corporate cost efficiency as part of its transformation plan for Versalis [10] Q&A Session Summary Question: Can you elaborate on the terms of the contract with Venture Global and the confidence in volume delivery? - Management stated that they cannot comment on third-party contracts but expressed confidence in Venture Global's ability to deliver based on their past performance [27][28] Question: What is the expected adjustment in the asset sale to Vitol? - Management confirmed that the closing will consider production cash and investment ramp-up, leading to an uncertain but adjusted final consideration [34] Question: Can you provide an update on the tax rate and refining margins? - Management indicated that the tax rate is expected to be closer to 50% due to improved profitability in previously loss-making businesses, while refining margins are expected to remain strong due to low product storage and high crack spreads [42][44] Question: What is the timeline for Plenitude to turn cash flow neutral? - Management expects Plenitude to maintain a strong financial position, with cash flow turning positive as retail clients are served by renewable production [48] Question: What are the next milestones for the restructuring of Versalis? - Management outlined that the restructuring plan will yield positive effects in 2025, with significant improvements expected by the second half of 2026 [80][82] Question: What is the status of Libya gas projects? - Management reported multiple ongoing projects in Libya, with first production from structures A and E expected by the end of 2027 [106]

Financial Highlights - The company's EBIT pro forma reached €64 billion[7], with an EBIT of €45 billion[7] - Net profit amounted to €25 billion[7] - Cash flow from operations (CFFO) totaled €62 billion[7] - Organic capital expenditure (CAPEX) was €39 billion[7], while leverage stood at 19% (pro forma 10%)[7] - The company repurchased 15% of its equity in H1 through a new share buyback program launched in May[20] Operational Achievements - Start-up of SAF production at Gela biorefinery and launch of a new biorefinery project in Sannazzaro[9] - Advanced PV plants in Spain with +290 MW under construction and +130 MW in operation[10] - The company completed a 30% investment by KKR into Enilive and a 10% investment by EIP into Plenitude[12] - LNG sales increased by +27% year-over-year[55] - Renewable energy production increased by 23% year-over-year[62] Portfolio and Strategy - A framework agreement with Petronas for a business combination in Indonesia-Malaysia was established, targeting >300 kboed of initial production and >500 kboed in 4-5 years[8, 25] - The company is targeting a ROACE greater than 15% for GNR and ENILIVE by 2030[5] - The company is reducing leverage towards historically low levels[5] - The company is keeping the company 25YE proforma leverage in a 15%-20% range[27]