Equinor

Earnings Release • Apr 30, 2025

Equinor first quarter 2025 results

Equinor first quarter 2025 results

Equinor (OSE:EQNR, NYSE:EQNR) delivered adjusted operating income* of USD 8.65

billion and USD 2.25 billion after tax in the first quarter of 2025. Equinor

reported net operating income of USD 8.87 billion and net income at USD 2.63

billion. Adjusted net income* was USD 1.79 billion, leading to adjusted earnings

per share* of USD 0.66.

Strong financial and operational performance

* Strong financial results and cash flow

* Solid oil and gas production

Strategic progress

* Successful start-up of the Johan Castberg and Halten East fields

* Final investment decision on Northern Lights phase 2

Capital distribution

* First quarter cash dividend of USD 0.37 per share

* Proposed second tranche of share buy-back of up to USD 1.265 billion

* Expected total capital distribution for 2025 of up to USD 9 billion

Anders Opedal, President and CEO of Equinor ASA:

"Equinor delivers strong financial results in the first quarter. I am pleased to

see the good operational performance and solid production capturing higher gas

prices. With the current market uncertainties, Equinor's core objective is safe,

stable and cost efficient operations and resilience through a strong balance

sheet."

"We maintain a competitive capital distribution and expect to deliver a total of

USD 9 billion in 2025."

"The production start-up of the Johan Castberg field strengthens Norway's role

as a reliable energy exporter to Europe. The field opens a new region in the

Barents Sea and is expected to contribute to energy supply, value creation and

ripple effects for at least 30 years to come."

"We have invested in Empire Wind after obtaining all necessary approvals, and

the order to halt work now is unprecedented and in our view unlawful. This is a

question of the rights and obligations granted under legally issued permits, and

security of investments based on valid approvals. We seek to engage directly

with the US Administration to clarify the matter and are considering our legal

options."

Solid production

Equinor delivered a total equity production of 2,123 mboe per day in the first

quarter, down from 2,164 mboe in the same quarter last year.

The operational performance for most of the fields on Norwegian continental

shelf is strong, including the Johan Sverdrup and Troll fields. This almost

offsets the negative production impact from the shut-in at Sleipner B after the

fire in fourth quarter 2024 and planned and unplanned maintenance at Hammerfest

LNG.

In the US, production increased from the same period last year. This was due to

increased production from the fields and transactions increasing Equinor's

ownership interest in onshore gas assets in 2024.

The production from the international upstream segment, excluding US, is down

compared to the same quarter last year, due to exits from Nigeria and Azerbaijan

in 2024.

The total power generation from the renewable portfolio was 0.76 TWh, on par

with the same period last year.

In the quarter, Equinor completed five offshore exploration wells on the NCS

with two commercial discoveries.

Strong financial results

Equinor delivered adjusted operating income* of USD 8.65 billion. and USD 2.25

billion after tax* in the first quarter of 2025. The results are driven by solid

gas production and higher gas prices.

Equinor realised a European gas price of USD 14.8 per mmbtu and realised liquids

prices were USD 70.6 per bbl in the first quarter.

Adjusted operating and administrative expenses* increased from the same quarter

last year driven by overlift, higher maintenance activity and some one-off

costs. This was partially offset by active measures to reduce costs for business

development and early phase projects in renewables and low carbon solutions.

A strong operational performance generated a cash flow from operating

activities, before taxes paid and working capital items, of USD 10.6 billion for

the first quarter. Equinor paid one NCS tax instalment of USD 3.09 billion in

the quarter.

Cash flow from operations after taxes paid* ended at USD 7.39 billion.

Organic capital expenditure* was USD 3.02 billion for the quarter, and total

capital expenditures were USD 4.50 billion.

Equinor continues to demonstrate capital discipline and strengthen financial

robustness with a net debt to capital employed adjusted ratio* of 6.9% at the

end of the first quarter, compared to 11.9% at the end of the fourth quarter of

Empire Wind 1

After quarter close, Equinor received a halt work order from the US government

on the offshore construction on the outer continental shelf for the Empire Wind

project. The lease was obtained in 2017 and the project was fully permitted in

2024. It has a potential for delivering power to half a million New York homes,

and is approximately 30% to completion.

Equinor is complying with the order and is seeking dialogue with the proper

authorities and assessing legal options. The Empire Wind project has per 31

March 2025 a gross book value of around USD 2.5 billion, including South

Brooklyn Marine Terminal.

Strategic progress

A major milestone was reached when production was started from the Johan

Castberg field in the Barents Sea on 31 March. Production also started at the

Halten East development in the Norwegian Sea, with   estimated recoverable

reserves of 100 million boe and one year pay-back time.

Equinor continues to optimise and strengthen long-term value creation on the

NCS, and was awarded 27 new production licenses in the Awards in Predefined

Areas round (APA) in January. The ambition is to drill around 250 exploration

wells on the NCS by 2035.

In the quarter, the Bacalhau floating production, storage and offloading vessel

(FPSO) arrived at its destination in the Santos Basin in Brazil's pre-salt

region. First oil is expected in 2025.

Within low carbon solutions, Equinor together with partners Shell and

TotalEnergies made a final investment decision to progress phase two of the

groundbreaking Northern Lights carbon transport and storage development in

Øygarden. The NOK 7.5 billion investment is expected to increase the total

injection capacity from 1.5 million tonnes of CO2 per year (Mtpa) to at least 5

Mtpa and further develop the commercial market for transport and storage of CO2.

The appraisal wells for carbon storage at Smeaheia were completed in the quarter

on time and on cost.

Competitive capital distribution

The board of directors has decided a cash dividend of USD 0.37 per share for the

first quarter 2025, in line with communication at the Capital Markets Update in

February.

Expected total capital distribution for 2025 is USD 9 billion, including a share

buy-back programme of up to USD 5 billion. The board has decided to initiate a

second tranche of the share buy-back programme of up to USD 1.265 billion. The

second tranche is subject to an authorisation from the company's annual general

meeting 14 May 2025 and will commence after this. The tranche will end no later

than 21 July 2025.

The first tranche of the share buy-back programme for 2025 was completed on 24

March 2025 with a total value of USD 1.2 billion.

All share buy-back amounts include shares to be redeemed by the Norwegian State.

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*For items marked with an asterisk throughout this report, see Use and

reconciliation of non-GAAP financial measures in the Supplementary disclosures.

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Further information from:

Investor relations

Bård Glad Pedersen, Senior vice president Investor relations

+47 918 01 791 (mobile)

Press

Sissel Rinde, Vice president Media relations

+47 412 60 584 (mobile)

This information is subject to the disclosure requirements pursuant to Section

5-12 of the Norwegian Securities Trading Act