A look at the performance of ORG, S32, and WPL during the reporting season

Highlights

  • Various ASX-listed companies published their quarterly results recently.
  • Several energy players including, Origin Energy, South32 Limited, and Woodside Petroleum, have reported their quarterly reports.
  • Companies have also reported their earnings guidance amid highly volatile commodity markets.

Various Australian Securities Exchange-(ASX) listed companies publish their earnings at least two times a year. The reporting season provides an opportunity for investors, traders, and analysts to review earnings and forecasts to understand how a company is performing and is expected to grow in the long term. 

Various ASX-listed companies published their quarterly results in the past two weeks, with a lot of companies on the way to reporting their earnings amid the ongoing reporting season. Several energy players, including Origin Energy (ASX:ORG), South32 Limited (ASX:S32), and Woodside Petroleum (ASX:WPL), have released their quarterly reports in past few days.

Let's skim through them one by one to get their insights.

Origin Energy (ASX:ORG)

In its Annual General Meeting 2021, Origin Energy (ASX:ORG) stated that FY21 was a challenging year for the highly volatile commodity market, and results of the financial year are primarily affected by lower commodity prices.Quarterly Report

Source: Copyright © 2021 Kalkine Media

The company has recorded a steep fall in its FY2022 (ended 30 June 2021) earnings for its energy market business, which is struggling due to a collapse in wholesale electricity prices. ORG’s statutory loss was around AU$2,291 million during the period while underlying EBITDA landed at AU$2,048 million. However, the company has made no changes to its FY2022 Underlying EBITDA guidance of between AU$450 million to AU$600 million.

Related Article: Why Origin Energy (ASX:ORG) shares gained 18% in last three weeks

With strengthening commodity prices, outlook for Australia Pacific LNG has improved. Moreover, recovery is anticipated in the earnings by AU$150 to AU$250 million based on the expectation that the recent recovery in wholesale energy prices continues.

South32 Limited (ASX:S32)

Australian diversified miner South32 Limited (ASX:S32) recorded an increase of US$254 million in its net cash position during the September 2021 quarter on the back of higher commodity prices and third-party logistics disruptions.

The company has increased its manganese production by 7%, with a strong quarterly record at South Africa Manganese. The miner has maintained the production above nameplate capacity production at Worsley Alumina.

Good Read: Why is South32 (ASX:S32) on investors’ radar today

Additionally, the company has also increased production at Mozal Aluminium.

Woodside Petroleum (ASX:WPL)

Australia’s LNG industry pioneer, Woodside Petroleum (ASX:WPL), has released its third-quarter earnings report for the period ending 30 September 2021. The company has recorded an increase of 19% in its sales revenue relative to previous quarter due to stronger average realised LNG prices.

Quarterly Report

Source: Copyright © 2021 Kalkine Media

The revenue from the sales of LNG during the period surged 27% relative to the second quarter despite the production being hampered by planned maintenance activities at the Pluto LNG and North-West Shelf Project.

Must Read: 1414 Degrees (ASX:14D) gains on Woodside (ASX:WPL) partnership

The average realised LNG price for WPL's portfolio was AU$57 per barrel of oil equivalent, up 28% from Q2 2021.

Bottom Line

The reporting season is in full swing in Australia, and various companies, including energy sector giants Origin Energy, South32 Limited, and Woodside Petroleum, have reported their performances over recent periods. It shall be interesting to see how things pan out in the future for these companies.

 

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