Naturgy Energy Group SA on Wednesday reported a 15% year-on-year decline in its international LNG sales during the second quarter of 2020 amid low energy demand caused by measures to contain the spread of the coronavirus in the period. International LNG sales volume fell to 26.8 TWh, dragged by reduced downstream demand.
At the same time, domestic gas sales volumes tumbled 30% to 2.6 TWh, weighed by lower gas demand in Spain which plunged 22% year-on-year to 71.9 TWh in the quarter. Naturgy’s gas sales to domestic third parties fell to 2.6 TWh amid business closure across the country. Meanwhile, sales to residential customers decreased to 2.7 TWh due to mild weather.
Naturgy’s net profit fell to €334 million ($383.3 million) in the second quarter, from €592 million a year earlier. The company said net sales fell 24.2% year-on-year to €8.78 billion ($7.59 billion). Meanwhile, EBITDA decreased to €1.87 billion ($1.62 billion) from €2.18 billion over the same period.
Naturgy attributed the decline to the coronavirus pandemic which significantly impacted electricity and gas consumption in the regions where it operates, especially in Spain and Latin America. The company noted that lower remuneration in electricity distribution and the new regulatory framework in Spain also affected its second-quarter results.
