a net profit of 92.9 million euros in the first quarter of the year, which represents a drop of 22% compared to the same period of the previous year, weighed down by the lower remuneration on the gas transmission network in Spain due to the entry into force of the new regulatory period (2021-26), the company informed the National Securities Market Commission (CNMV).
Thus, the group’s earnings in the period from January to March, despite this drop, are in line with the target it established for 2021 as a whole of a profit of about 380 million euros.
The turnover of the company chaired by Antonio Llardén fell in this first quarter by 15.1%, to 240.6 million euros, mainly due to this cut in regulated income.
Meanwhile, the result of the companies invested by Enagás amounted to 48.8 million euros at the end of March, with a growth of more than 41% compared to 34.6 million euros in 2020 and represented 38.1% of profit quarterly.
The result from the equity method includes the contribution of the 30.2% stakes in the US company Tallgrass Energy and the 16% of TAP, which for the first time contributes for a full quarter since its start-up at the end of last year .
The Group’s cash flow from operations (FFO) figure as of March 31 was 187.1 million euros, 5.6% higher than that obtained in 2020. This increase is due, among other effects, to the dividends received from investee companies, which in this first quarter of 2021 amounted to 28.9 million euros.
Of this amount in dividends, 22.8 million correspond to the distribution of a dividend by Tallgrass Energy charged to fiscal year 2020.
The net debt at the end of the first quarter of 2021 of the operator of the Spanish gas network stood at 4,277 million euros, with a financial cost of the debt of 1.8%. The FFO to net debt ratio was 16.3%.
Liquidity of 2,800 million
In addition, the group has a solid liquidity situation, which at the end of the quarter amounted to 2,802 million euros between cash and undrawn credit lines.
Regarding the remuneration to its shareholders corresponding to the 2020 financial year, Enagás will propose at its next general meeting of shareholders, which is scheduled to be held in May, a dividend of 1.68 euros gross per share, the which represents an annual increase of 5%, in line with the company’s strategy.