German gas firm Uniper has registered a net loss of €40.37bn in the first nine months of 2022, compared with a €4.76bn loss in the same period of 2021, due to reduced gas deliveries from Russia.
The net loss includes approximately €10bn of realised costs for replacement volumes and anticipated losses of nearly €31bn from valuation effects on derivatives and provision built-ups pertaining to the gas curtailments from Russia as of 30 September 2022.
Sales for the first nine months of 2022 stood at €213.303bn, an increase from €78.49bn in the first nine months of 2021.
Uniper’s adjusted EBIT recorded a loss of €4.75bn in the first nine months of 2022, compared to a gain of €614m in the same period last year.
The company registered a negative operating cash flow of €10.87bn in Q1-Q3 2022, against a positive cash flow of €2.24bn in the year prior. This was due to liquidity optimisation measures undertaken in 2021.
Economic net debt saw a significant jump to €10.9bn in the latest period, from €324m in 2021.
This was due to negative operating cash flow as a result of curtailments of Russian gas, along with increased gas inventories driven by surging gas prices.
Uniper CFO Tiina Tuomela said: “To ensure customers’ supply security, Uniper has for some time been procuring gas at significantly higher prices and, as is well known, has thus recorded considerable losses because the replacement costs of procuring new gas aren’t being passed through to consumers.
“We and the Federal Government are currently finalising the details of the support measures relating to the suspension of the gas surcharge. We are also working intensively to restructure our gas portfolio in order to minimise risks and, to end by 2024, the losses resulting from suspended Russian gas deliveries.”
Uniper and the German government are currently finalising the details of the stabilisation measures to help address the impact of restrictions on gas supply on the firm.
In September 2022, Germany, Unniper, and Fortum announced an amendment to the package of measures agreed in July 2022 to ensure Uniper’s long-term stabilisation.
As part of it, the government will increase its stake in Uniper from 30% to 99% and nationalise the gas importer. The additional stake would be purchased from Finnish energy firm Fortum.