Abu Dhabi – Mubasher: The interim consolidated financials of Dana Gas recorded $379 million (AED 1.39 billion) net losses in the first nine months of 2020, against net profits of $142 million (AED 521 million) in the corresponding period of 2019.
The net losses are driven by the sharp decline in oil prices and the coronavirus (COVID-19) negative economic impact, according to the company's interim consolidated financial results for the period ended on 30 September 2020.
Lower oil prices and COVID-19 have led to a non-cash impairment of $243 million in respect of the Egyptian assets and further impairment of $163 million for goodwill following the sale of the company's onshore assets in Egypt.
The company's revenues plunged to $262million (AED 960 million) in the January-September period of 2020 from $357 million (AED 1.31 billion) in the same period of 2019.
The earnings before interest, tax, depreciation, and amortisation (EBITDA) decreased to $110 million (AED 403 million) during the first nine months, down 63% from $295 million (AED 106 million) in the prior-year period.
The basic and diluted loss per share settled at AED 0.20 in the first nine months of 2020, against earnings per share (EPS) of AED 0.075 in the year-ago period.
The CEO of Dana Gas, Patrick Allman-Ward, said: "The Company’s performance has remained consistently strong over the first nine months of 2020 despite the current economic environment. We generated a net operating profit of $31m, which is testament to our continued, resilient operating performance."
It is noteworthy to mention that in the first half (H1) of 2020, the company saw net losses of AED 69 million, compared to net profits of AED 513 million in the same period of 2019.
