Origin Energy books big jump in annual profit
Origin Energy has delivered a fivefold rise in annual profit with strong earnings from its Queensland LNG business.
Origin Energy has delivered a fivefold rise in annual profit as strong earnings from its Queensland LNG business offset a fall in its core energy markets unit.
Bottom line earnings surged to $1.211 billion for the 2019 financial year, just short of a $1.259bn consensus forecast, and well up on the $280m recorded in the prior year.
Underlying profit rose to $1.028bn and the Australia Pacific LNG unit delivered net cash flow of $943m to Origin.
The closely watched Energy Markets unit saw underlying earnings before interest, tax, depreciation and amortisation fall by five per cent to $1.574bn in line with a $1.5bn to $1.6bn forecast previously guided by the Sydney-based company.
However, Origin expects underlying EBITDA for energy markets to decline to $1.35bn to $1.45bn in the 2020 financial year, highlighting the headwinds major power companies face from the government imposed default market offer, lower green scheme prices and falling customer use of power.
More to come