DANA GAS (DANA) Q3 2024 earnings summary

Executive summary

• Net profit for 9M 2024 was $112m, down 11% year-over-year, mainly due to lower realized prices and a 24% production decline in Egypt, while KRI operations remained robust.

• Revenue for 9M 2024 was $286m, a decrease from $326m in 9M 2023, driven by lower condensate and LPG prices and reduced Egypt output, partially offset by higher KRI production.

• Group production averaged 55,300 boepd in 9M 2024, down 8% year-over-year; KRI output rose 3% while Egypt fell 24%.

• Cash position increased to $151m at period end, up 15% from year-end 2023.

• Corporate debt reduced from $108m to $28m after full repayment of a $70m facility.

Financial highlights

• 9M 2024 net profit: $112m (down from $126m in 9M 2023); Q3 net profit: $40m (vs $43m in Q3 2023).

• 9M 2024 revenue: $286m (vs $326m in 9M 2023); Q3 revenue: $96m (vs $104m in Q3 2023).

• 9M 2024 EBITDA: $175m (vs $201m in 9M 2023); Q3 EBITDA: $60m (vs $71m in Q3 2023).

• Total collections rose to $238m in 9M 2024 from $167m in 9M 2023, with $202m from KRI and $36m from Egypt.

• Earnings per share for 9M 2024 was $0.016, compared to $0.018 in 9M 2023.

Outlook and guidance

• KM250 project construction to restart by year-end under Pearl Petroleum’s direct control, with first gas expected in Q2 2026.

• Egypt’s new concession agreement ratified, enabling a $100m investment program to stabilize and grow production, contingent on receivables payment.

• Company to evaluate resumption of a sustainable annual dividend in March, subject to financial position.