Shares of Ithaca Energy plc (ITH.L) were gaining around 5 percent in the early morning trading on the London Stock Exchange, after the oil and gas company Thursday reported thats its fiscal 2024 performance exceeded expectations. Meanwhile, the company sees lower adjusted EBITDAX in the year.
The company also reaffirmed total dividend target of $500 million for 2024 and 2025.
In its trading update for the year 2024, the company noted that estimated adjusted EBITDAX is $1.4 billion, down from last year's $1.7 billion. Cash from operations was $0.9 billion, compared to prior year's $1.3 billion. The results represent contributions from Eni UK assets following combination starting October 3 onwards
The estimated fourth-quarter EBITDAX performance is $642 million, reflects business combination.
Fiscal 2024 production was 80.2 kboe/d, at the top end of market guidance range of 76-81 kboe/d for the enlarged group.
The results included six months production from Eni UK assets from July 1 economic effective date.
The fourth-quarter production was 116.0 kboe/d. The company reached peak production rates of 138 kboe/d in the quarter, with strong performance continuing into January.
In the year, pro-forma production was 105.5 kboe/d, compared to 70.2 kboe/d last year.
The company further said it continued strong production trend into 2025, with average production from November to January of >120 kboe/d.
Ithaca Energy is scheduled to release fiscal 2024 results on March 26.
Iain Lewis, Chief Financial Officer, said, "With production at the top end of guidance and operational costs driven lower than guidance, our financial performance in 2024 was strong, with momentum building during the year, climaxing in a Q4 EBITDAX of over $0.6 billion. We continue to build our value levered hedge position, which combined with our recently refinanced balance sheet gives us a strong financial foundation for future growth and cash returns."
In London, Ithaca Energy shares were trading at 137.40 pence, up 4.7 percent.
For comments and feedback: editorial@rttnews.com