Enter your details to join our mobile app waitlist and receive early access to the Bell Direct App.
Leading Australian energy provider Origin Energy (ASX:ORG) announced its FY22 results today.
CEO Frank Calabria warned very challenging operating conditions impacted results for FY22. High commodity prices and domestic supply chain interruptions combined with volatile wholesale electricity prices, higher fuel costs and wet weather impacted earnings.
For the year, Origin Energy reported underlying EBITDA slightly rose to $2.114 billion, record cash distribution from Australia Pacific LNG of $1.595 billion due to higher realised oil and spot LNG prices, adjusted net debt reduced. The energy provider also reported an underlying profit of $407 million, which fell short of Citi’s expected underlying profit of $518 million.
Origin has withheld from providing FY23 earnings guidance amid higher energy costs. Production guidance for FY23 has been set at 680-710 PJ reflecting ongoing strong field performance, whilst allowing for the impact of recent wet weather events.
Shareholders have responded negatively to the results today with ORG shares down more than 3% in the opening hour of trade, despite the company announcing a final dividend of 16.5 cents per share, which is more than double that of last year’s final dividend.