OMV (OMV) Q3 2024 earnings summary

Executive summary

• Q3 2024 Clean CCS Operating Result declined 21% year-over-year to EUR 1,051 million, with Fuels & Feedstock and Energy segments weaker, partly offset by strong Chemicals and retail performance.

• Cash flow from operating activities for Q3 2024 was EUR 1,421 million, down 17% year-over-year, and for the first nine months totaled EUR 4.4 billion, down 4% year-over-year.

• Polyolefin sales volumes rose 9% year-over-year, while hydrocarbon production fell 9% due to a Libya outage; production has since resumed.

• Strategic progress included renewable energy acquisitions in Romania, a gas discovery in Norway, and entry into renewable power production.

• Sales revenues fell 9% year-over-year to EUR 8,645 million, mainly due to lower oil and gas prices.

Financial highlights

• Clean CCS Operating Result for Q3 2024 was EUR 1,051 million, down 21% year-over-year; Clean CCS EPS fell 20% to EUR 1.06.

• Cash flow from operations for the first nine months was EUR 4.4 billion, down 4% year-over-year.

• Organic free cash flow before dividends was EUR 2.0 billion for 1-9/2024; after dividends at EUR -0.2 billion.

• Net debt increased to EUR 3.4 billion; leverage ratio rose to 12%.

• Total capital expenditure rose to EUR 1,149 million, mainly due to renewables and filling station acquisitions.

Outlook and guidance

• Full-year 2024 Brent oil price forecast is $80–$85/bbl; realized gas price expected at ~EUR 25/MWh.

• Hydrocarbon production guidance for 2024 is 330–350 kboe/d, down from 364 kboe/d in 2023.

• Polyolefin sales volumes expected to reach 3.9 million tons, a 10% increase year-over-year.

• Organic CAPEX for 2024 projected at EUR 3.8 billion; Chemicals CAPEX at EUR 1.0 billion, Fuels & Feedstock at EUR 0.8 billion, Energy at EUR 1.9 billion.

• Clean tax rate guidance unchanged at ~45%.