Gazprom’s Q3 profit jumps on high gas prices

Russian gas giant Gazprom reported a record quarterly net profit of 581.8 billion roubles ($7.75 billion) in the third quarter, boosted by higher gas prices and sales.

Gazprom posted a loss of 251.2 billion roubles in the third quarter last year and a profit of 521.2 billion rubles in the prior quarter.

Revenue also surged year-on-year to 2.37 trillion roubles compared to 1.39 trillion roubles last year when Gazprom’s results were affected by the Covid-19 pandemic.

The company’s net gas sales of gas rose by 77 percent to 3.46 trillion rubles for the nine months ended September 30. Volumes-wise, they rose to 369.8 bcm from 326.8 cbm in the January-September period last year.

Gas sales to Europe and Turkey, which account for most of Gazprom’s profits, rose by 117 percent to 2.46 trillion roubles.

Gazprom attributed the increase to higher average prices and the rise in volumes of gas sold to Europe and Turkey by 14 percent, or 21.3 bcm.

The state-owned firm said its average price of gas exports had been consistently rising for six quarters in a row.

Its average gas price in Europe and Turkey surged to $304 per 1,000 cubic meters in the third quarter, a 2.6-fold increase year-on-year.

Gazprom said it expects an even better fourth quarter mainly due to higher gas prices to Europe.

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