Repsol Swung to 2Q Loss on Falling Prices, Demand

   By Giulia Petroni

Repsol SA said Thursday that it swung to a loss in the second quarter due to the historic fall in oil and gas prices caused by the pandemic.

The Spanish energy company said it registered a net loss of 2 billion euros ($2.31 billion) from a profit of EUR525 million in the year-earlier period mainly due to impairments in upstream and the impact of the inventory effect.

On an adjusted basis, the company reported a loss of EUR258 million from a profit of EUR497 million in the year-earlier period.

Earnings before interest, taxes, depreciation and amortization decreased to EUR240 million.

Repsol said upstream production in the second quarter reached an average of 640,000 barrels of oil equivalent a day, 55,000 BOE/D lower on year partly to the production halt in Libya and lower gas demand in Bolivia, Peru and Indonesia caused by the virus.

The company said it is improving the goals presented in its 2020 resilience plan and now estimates opex reduction of EUR450 million and capex reduction of EUR1.1 billion in 2020.

Write to Giulia Petroni at giulia.petroni@wsj.com

(END) Dow Jones Newswires

July 23, 2020 02:44 ET (06:44 GMT)

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