- Galp’s adjusted net income for 4Q was €71 million, a 75% decrease year-over-year and well below the estimated €194.7 million.
- Adjusted EBITDA fell by 4.4% to €688 million, missing the estimate of €703.4 million.
- Upstream adjusted EBITDA dropped 27% to €437 million, against an expectation of €490.9 million.
- Industrial and Midstream adjusted EBITDA increased significantly to €182 million, surpassing the estimate of €142.8 million and up from €63 million year-over-year.
- Adjusted EBIT was €347 million, a 16% decrease from the previous year, and below the estimated €487.3 million.
- Revenue of €4.91 billion was down 6% year-over-year but exceeded the expected €4.58 billion.
- Net debt reduced by 14% to €1.21 billion, better than the estimated €1.61 billion.
- Galp plans to propose a dividend of €0.62 per share and a €250 million share buyback.
- The company anticipates its RCA EBITDA will exceed €2.5 billion in 2025 and reach about €3.3 billion in 2026.
- Expected average net capex for 2025-2026 is less than €800 million.
- Galp is actively drilling the Mopane-3x well in Namibia as part of its exploration initiatives.
- The realised refining margin is projected to be about $6/boe in 2025 and approximately $5/boe in 2026.
- The company has successfully de-risked the Mopane complex, drilling four wells in the northwest region within a year, and is exploring additional development opportunities.
- Market analysts have given the following ratings for Galp: 14 buy recommendations, 8 hold ratings, and 3 sell ratings.
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A look at Galp Energia Sgps Sa Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 5 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Galp Energia, SGPS, S.A. has a promising long-term outlook based on Smartkarma Smart Scores. The company scores high in Growth and Resilience, indicating strong potential for future expansion and a solid ability to weather market uncertainties. With a focus on the South Atlantic region and key operations in Brazil, Angola, and Mozambique, Galp Energia is strategically positioned in lucrative markets. In addition, its downstream activities in Iberia enhance its presence in Refining & Marketing and Gas & Power sectors, contributing to its overall positive outlook.
Despite average scores in Value and Momentum, Galp Energia shows strength in Dividend payouts, providing attractive returns to investors. As an integrated energy company with diversified activities worldwide, Galp Energia is well positioned to capitalize on growth opportunities while maintaining a resilient operational framework. Overall, the company’s solid performance in key areas supports a positive outlook for its long-term prospects in the energy sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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