HOW “Latvian gas“The group’s net turnover in nine months was 580.268 million euros, 2.1 times higher than in the corresponding period last year, while the group’s net profit reached 96.578 million euros, against losses from the previous year, the company’s statement to the exchange said “Nasdaq Riga“.
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The company informs that the company “Latvijas gas” achieved its best historical financial results in the nine months of 2022. The first quarter financial results were the main reason for the historically best nine months financial results.
In nine months of this year, “Latvijas gāze” sold 5,975 gigawatt hours (GWh) of natural gas to customers in Latvia and abroad. Compared to the corresponding period of 2021, the sales volume is 43.6% lower.
The decrease in sales volume is due to market participants choosing not to buy of Russia source of gas already before January 1, 2023, when the ban on natural gas deliveries from Russia will come into force, and customers also revised their natural gas usage capacity due to high natural gas prices.
For the same reasons, “Latvijas Gāze” expects lower sales volumes in 2022 than in 2021.
The household segment generated losses in the first half of 2022. Although the household rate was increased on July 1, 2022 for the next rate period, the purchase price of natural gas in the third quarter was significantly higher than the specified sale price in the tariff, so the domestic customer segment continued to generate losses. As natural gas prices remain high, “Latvijas gāze” predicts that the domestic segment could also generate losses in Q4 2022.
In order not to cause losses to the company in the conditions of high uncertainty in the natural gas market, “Latvijas gāze” continues a disciplined approach to trading without taking on additional risks and obligations, including not concluding new transactions with derivative financial instruments at due to the high price fluctuations.
In the nine months of 2021 “Latvijas gāze” worked with a turnover of 281,223 million euros and a turnover of 167,471 million euros.
The largest shareholders of “Latvijas gas” are Russians “Gazprom” (34%), fund “Marguerite Gas II.Sarl” (28.97%), Germany company “Uniper Ruhrgas International GmbH” (18.26%) and SIA “Itera Latvia (16%).
