Earnings Release • Oct 28, 2022
Earnings Release
Open in ViewerOpens in native device viewer
Chief Financial Officer
28th October 2022
USD 6 billion share buy -back programme
Excludes changes in working capital
In addition to one NCS tax instalment of ~USD 7 billion paid 1 August
Serious Incident Frequency (SIF) Serious incidents and near-misses per million hours worked. 12-month average.
Total Recordable Injury Frequency (TRIF) Personal injuries requiring medical treatment per million hours worked 12-months average.
Number of leakages with rate above 0.1 kg/second during the past 12 months.
Footnote SIF: The number of work-related injuries (WRI) have been excluded from the SIF results. This will be followed up as a separate parameter by the company's business areas. The SIF trend has been adjusted for this change.
| E&P Norway − Record earnings and solid cash flow − High gas production with high prices |
E&P International − Strong earnings and cash flow − Production from Peregrino offset Russian volumes |
E&P USA − Record earnings and strong cash flow − Gas portfolio captured increasing prices |
MMP − Strong earnings driven by European gas and power sales and trading − Results uplifted by USD 245 million from timing effects from derivatives |
REN − Earnings from assets in operation USD 28 million − East Point Energy US acquisition closed |
||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Million USD | Pre tax | After tax | Pre tax | After tax | Pre tax | After tax | Pre tax | After tax | Pre tax | After tax |
| 3Q 22 | 21,079 | 4,723 | 942 | 641 | 889 | 868 | 1,452 | 523 | (46) | (32) |
| 3Q 21 | 6,762 | 1,699 | 556 | 378 | 288 | 285 | 2,197 | 439 | (28) | (22) |
Year to date 2022 Cash flow
Million USD
1. Excludes changes in working capital
2. One instalment based on 1H2022 earnings
3. Adjusted, excluding IFRS 16 impact
| Production growth1 | 2021-22 | ~1 | percent |
|---|---|---|---|
| 2022 | ~8.5 | billion USD |
|
| Organic capex 2 |
2022-23 | ~10 | billion USD |
| 2024-25 | ~12 | billion USD |
|
Production rebased for portfolio measures
Annual average capex based on USD/NOK of 9
| Adjusted earnings Pre-tax, Million USD |
E&P Norway | E&P International | E&P USA | MMP | REN | |
|---|---|---|---|---|---|---|
| 3Q 22 | 21,079 | 942 | 889 | 1,452 | (46) | |
| 3Q 21 |
6,762 | 556 | 288 | 2,197 | (28) | |
| Reported Net operating income Pre-tax, Million USD |
||||||
| 3Q 22 |
21,813 | 813 | 1,084 | 1,916 | (56) | |
| 3Q 21 |
7,849 | 535 | 244 | 935 | (27) | |
This presentation contains certain forward-looking statements that involve risks and uncertainties. In some cases, we use words such as "ambition", "continue", "could", "estimate", "intend", "expect", "believe", "likely", "may", "outlook", "plan", "strategy", "will", "guidance", "targets", and similar expressions to identify forward-looking statements. Forward-looking statements include all statements other than statements of historical fact, including, among others, statements regarding Equinor's plans, intentions, aims, ambitions and expectations,; the decision to stop new investments into Russia and trading in Russian oil; estimates regarding tax payments; the commitment to develop as a broad energy company; the ambition to be a leader in the energy transition and reduce net group-wide greenhouse gas emissions; future financial performance, including cash flow and liquidity; accounting policies; the ambition to grow cash flow and returns; expectations regarding returns from Equinor's oil and gas portfolio; plans to develop fields and increase gas exports; plans for renewables production capacity and investments in renewables; expectations and plans regarding development of renewables projects, CCUS and hydrogen businesses; market outlook and future economic projections and assumptions, including commodity price and refinery assumptions; organic capital expenditures through 2025; expectations and estimates regarding production and execution of projects; the ambition to keep unit of production cost in the top quartile of our peer group; scheduled maintenance activity and the effects thereof on equity production; completion and results of acquisitions and disposals; expected amount and timing of dividend payments and the implementation of our share buy-back programme; and provisions and contingent liabilities. You should not place undue reliance on these forward-looking statements. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons.
These forward-looking statements reflect current views about future events and are, by their nature, subject to significant risks and uncertainties because they relate to events and depend on circumstances that will occurin the future. There are a number of factors that could cause actualresults and developments to differ materially from those expressed orimplied by these forward-looking statements, including levels of industry product supply, demand and pricing, in particular in light of significant oil price volatility and the uncertainty created by Russia's invasion of Ukraine; our subsequent decision to stop new investments into Russia and exiting our Russian joint ventures; levels and calculations of reserves and material differences from reserves estimates; natural disasters, adverse weather conditions, climate change, and other changes to business conditions; regulatory stability and access to attractive renewable opportunities; unsuccessful drilling; operational problems, in particular in light of supply chain disruptions; health, safety and environmental risks; the effects of climate change; regulations on hydraulic fracturing; security breaches, including breaches of our digital infrastructure (cybersecurity); ineffectiveness of crisis management systems; the actions of competitors; the development and use of new technology, particularly in the renewable energy sector; inability to meet strategic objectives; the difficulties involving transportation infrastructure; political and social stability and economic growth in relevant areas of the world; reputational damage; an inability to attract and retain personnel; risks related to implementing a new corporate structure; inadequate insurance coverage; changes or uncertainty in or non-compliance with laws and governmental regulations; the actions of the Norwegian state as majority shareholder; failure to meet our ethical and social standards; the political and economic policies of Norway and other oil-producing countries; non-compliance with international trade sanctions; the actions of field partners; adverse changes in tax regimes; exchange rate and interest rate fluctuations; factors relating to trading, supply and financialrisk; general economic conditions; and other factors discussed elsewhere in this report and in Equinor's Annual Report on Form 20-F for the year ended December 31, 2021, filed with the U.S. Securities and Exchange Commission (including section 2.13 Risk review - Risk factors thereof). Equinor's 2021 Annual Report and Form 20-F is available at Equinor's website www.equinor.com.
Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot assure you that ourfuture results, level of activity, performance or achievements will meet these expectations. Moreover, neither we nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and, except as required by applicable law, we undertake no obligation to update any of these statements after the date of this report, either to make them conform to actualresults or changes in our expectations.
We use certain terms in this document, such as "resource" and "resources" that the SEC's rules prohibit us from including in our filings with the SEC. U.S. investors are urged to closely consider the disclosures in our Form 20-F, SEC File No. 1-15200. This form is available on our website or by calling 1-800-SEC-0330 orlogging on to www.sec.gov.
| Mads Holm | Senior Vice President | [email protected] | +47 90 95 54 17 | |||
|---|---|---|---|---|---|---|
| Lars Valdresbråten | IR Officer | [email protected] | +47 40 28 17 89 | |||
| Erik Gonder | IR Officer | [email protected] | +47 99 56 26 11 | |||
| Amberley Doskey |
IR Officer | [email protected] | +44 7584 681246 | |||
| Fan Gao | IR Officer | [email protected] | +44 7771 918026 | |||
| Dennis Arthur | IR Officer | [email protected] | +44 7825 275429 | |||
| Anne Sofie Dahle | Senior Consultant | [email protected] | +47 90 88 75 54 | |||
| USA | ||||||
| Nate Mital | IR Officer | [email protected] | +1 469-927-5677 | |||
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.