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Fluxys Belgium reports decrease in net profit

Oil&Gas Materials 28 September 2023 15:30 (UTC +04:00)
Laman Zeynalova
Laman Zeynalova
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BAKU, Azerbaijan, September 28. Fluxys Belgium Group, a leading energy infrastructure company, announced its financial results for the first half of 2023, revealing a net profit of €34.5 million, Trend reports.

This figure represents a decrease of €6.6 million compared to the €41.1 million net profit recorded during the same period in 2022.

In a detailed breakdown of the financial landscape, Fluxys Belgium Group reported a notable €5.4 million in impairment losses attributed to gas inventories, attributable to declining market prices. Additionally, finance costs surged from €18.4 million to €34.4 million, with the increase being attributed to mounting regulatory liabilities and escalating interest rates. Meanwhile, income tax expenses saw a decrease of €2.5 million, a reflection of reduced earnings before tax.

Notably, Fluxys Belgium SA submitted an application for tax deductibility on innovation income spanning the period 2022 to 2024. This tax advantage, however, has been fully integrated into the regulated tariffs, ensuring it aligns with regulatory frameworks.

The company also highlighted its robust investment activity in the first half of 2023, with €70.3 million allocated to property, plant, and equipment. This figure marks a significant increase compared to the €35.2 million invested during the same period in 2022. Of these investments, €30.3 million was directed towards LNG infrastructure projects, while €39.7 million was channeled into gas transmission initiatives.

Furthermore, the company noted that disposals and retirements of natural gas transmission networks were largely due to equipment dismantling rendered obsolete following the L-H conversion. Fluxys Belgium Group secured grants from CINEA (European Climate, Infrastructure, and Environment Executive Agency) to support these initiatives.

Headquartered in Belgium, Fluxys is a fully independent energy infrastructure group boasting a workforce of 1,300 employees, engaged in gas transmission and storage, as well as liquefied natural gas terminalling. The company manages an extensive network of 12,000 km of gas transmission pipelines spanning Europe and Brazil.

Fluxys also oversees liquefied natural gas terminals in Belgium, France, Greece, and Chile, with a combined annual regasification capacity of 380 TWh. Additionally, it operates an underground gas storage facility for natural gas in Loenhout, Belgium."

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