Eni Q4 Earnings Fall Short of Estimates, Revenues Decline Y/Y

Core Insights - Eni SpA reported fourth-quarter 2024 adjusted earnings of 58 cents per American Depository Receipt, missing the Zacks Consensus Estimate of 84 cents and declining from $1.06 in the same quarter last year [1] - Total quarterly revenues were$25.6 billion, down from $26.9 billion year-over-year, but exceeded the Zacks Consensus Estimate of$20.3 billion [2] Operational Performance - Eni operates through four business segments: Exploration & Production, Global Gas & LNG Portfolio, Enilive Refining and Chemicals, and Plenitude & Power [4] Exploration & Production - Total oil and gas production in Q4 was 1,716 thousand barrels of oil equivalent per day (MBoe/d), a 1% increase from 1,708 MBoe/d in the prior-year quarter [5] - Liquids production was 786 MBbl/d, up 1% from 781 MBbl/d a year ago, while natural gas production increased to 4,862 million cubic feet per day from 4,851 million cubic feet per day [5] - The average realized price of liquids was $69.02 per barrel, down from$77.53 a year ago, while the realized natural gas price was $7.35 per thousand cubic feet, up 2$7.21 [6] - The Exploration & Production segment reported a pro-forma adjusted EBIT of €2.8 billion, down 17% from €3.3 billion in the same quarter of 2023 [6] Global Gas & LNG Portfolio - Worldwide natural gas sales totaled 15.26 billion cubic meters (bcm), a 12% increase from 13.61 bcm year-over-year [7] - The segment reported a pro-forma adjusted EBIT of €226 million, a significant decrease of 68% from €717 million in the prior-year quarter due to negative one-off effects [7] Refining, Chemicals & Power - Total refinery throughputs were 6.04 million tons, down from 6.92 million tons in the corresponding period of 2023 [8] - Petrochemical product sales decreased by 4% year-over-year to 0.74 million tons [8] - The segment reported a pro-forma adjusted negative EBIT of €275 million, compared to €134 million in the year-ago quarter, attributed to weaker refining margins and lower throughputs [9] Enilive & Plenitude - Retail gas sales managed by Plenitude declined by 1% year-over-year to 1.73 bcm [10] - The segment reported a pro-forma adjusted EBIT of €133 million, marking a 17% year-over-year decrease due to deteriorating biofuel margins [11] Financials - As of December 31, Eni had long-term debt of €21.5 billion and cash and cash equivalents of €8.2 billion [12] - For the reported quarter, net cash generated by operating activities was €3.6 billion, with capital expenditure totaling €2.5 billion [12]