Gazprom went into the red

Instead of the expected profit of 450 billion rubles, the “national treasure of Russia” showed a loss of almost 630 billion rubles.
Origin source
Gazprom reported a net loss of 629 billion rubles at the end of 2023. The consensus forecast assumed a profit of 447 billion rubles, Interfax writes. Gazprom shares fell in price by more than 4% after the publication of the report.

At the end of 2023, Gazprom received a net loss attributable to shareholders in the amount of 629.09 billion rubles, as follows from the company’s reporting according to international standards. A year earlier, at the end of 2022, Gazprom made a profit of 1.23 trillion rubles.

Gazprom's revenue decreased by 26.8%, to 8.54 trillion rubles. Operating expenses decreased by 7.8%, to 8.58 billion rubles. EBITDA as the sum of profit from sales and depreciation amounted to 618.37 billion rubles. Analysts on average expected that Gazprom would earn a profit of 447 billion rubles and EBITDA of 1.972 trillion by the end of 2023, Interfax writes. Gazprom's adjusted EBITDA amounted to 1.76 trillion rubles, the net debt/EBITDA ratio was 2.96x.

Gazprom shares on the Moscow Exchange fell by 4.2% to 156.38 rubles after the publication of financial statements. This is the minimum since March 25th. At 16:41 Moscow time, the fall slowed to 3.36%, Gazprom shares were trading at 157.73 rubles.

In December 2023, the deputy head of Gazprom, Famil Sadigov, stated that the company expected “confident financial results” for 2023. He argued that, although prices and gas exports had fallen, in 2023 Gazprom was expected to receive more than 4 trillion rubles in revenues from its sales and 3.4 trillion rubles in revenues from other activities. It was expected that EBITDA would be about 2.2 trillion rubles, and the net debt/EBITDA ratio would be 2.3x. Gazprom's dividend policy provides for the payment of at least 50% of adjusted net profit under IFRS. However, if the net debt/EBITDA ratio is above 2.5x, the board of directors may recommend dividends below target levels.