Gasum Group releases its 4Q19 results

Key financial indicators 1 January to 31 December 2019:

• The Gasum Group’s revenue was down 4.2% year on year, totalling €1.12 billion (2018: €1.17 billion).
• The Group’s operating profit totalled €141.4 million, up 13.9% year on year (€124.2 million).
• Capital expenditure increased the alance sheet total to €1.64 billion (31 December 2018: €1.52 billion).
• The Gasum Group’s financial position remained strong in the reporting period, with the equity ratio being 44.7% (31 December 2018: 43.7%).

CEO Johanna Lamminen comments on 2019:

“In 2019, we took purposeful steps to advance our strategy and developed the Nordic gas market, enabling an even broader offering of low-emission energy solutions in response to growing demand among industrial as well as road and maritime transport customers.

Our group’s financial performance developed in line with our expectations. The group’s revenue totalled €1.12 billion, down 4.2% year on year (€1.17 billion). The decline in revenue was caused primarily by the development in the sales price of gas. Our operating profit was €141.4 million, up 13.9% year on year (€124.2 million).

At the turn of the year, the Finnish pipeline gas market was opened up to competition and the unbundling of Gasum’s transmission business was completed as a new company, Gasgrid Finland Oy, commenced its operations on 1 January 2020. Gasum has prepared for the opening up of the gas market and the broadening competition by developing products and services.

Another important step in the development of the Nordic gas market was taken by us when we signed the deal on the acquisition AGA’s Clean Energy business and Nauticor’s Marine Bunkering business from Linde AG. The transaction promotes our strategy by further expanding our supply of energy solutions for industrial as well as road and maritime transport needs. It also speeds up the implementation of Gasum’s growth strategy focusing on cleaner transport solutions in the Nordic countries. The acquisition is awaiting approval by the competition authorities and anticipated to be completed during 2020.

We expanded our Nordic gas filling station network by 13 new stations. The opening of the new stations supports national emission reduction targets by facilitating a switch in Nordic transport to cleaner fuel solutions. Gas is a cost-efficient fuel that can be used to replace conventional fuels and make significant emission cuts rapidly.

We are continuing to increase the biogas market and biogas production capacity. Biogas business development supports our efforts to increase the size of the transport market, which is a key element of our strategy for road as well as maritime transport. As a low-emission fuel, gas will gain a bigger role in the future as action against climate change requires a transition to cleaner solutions.”

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/20022020/gasum-group-releases-its-4q19-results/