LONDON, Feb 5 - British gas producer BG Group Plc (BG.L) said net profit, excluding one-off items, beat forecasts with a 25 percent jump in the fourth quarter comparedwith the same period in 2007 and gave a buoyant outlook for growth.
BG said in a statement released on Thursday that net profit, excluding non-operating items, was 695 million pounds ($1 billion) in the last quarter of 2008, ahead of an average forecast of 594 million pounds from a Reuters poll of six analysts.
The result was boosted by strong profits from shipping liquefied natural gas (LNG).
The profitability of shipping LNG again surprised analysts and, going forward, may offset the drop in profits from oil and gas production, one dealer said. Crude oil prices have collapsed since July.
BG increased its full-year dividend 20 percent to 11.23 pence per share.
Strong exploration success in Brazil helped BG to report a 64 percent year-on-year jump in proved and probable oil and gas reserves and to affirm its production growth of 6 percent to 8 percent to 2020.
However, developing these reserves will be expensive. BG expects capital expenditure for 2009-2012 to be 16 billion pounds and 4 billion pounds in 2009, up from an earlier estimate of 3.1 billion pounds.
Including one-off items, namely non-cash gains related to mark-to-market movements on long-term North Sea gas contracts, net profits rose 56 percent to 756 million pounds.
BG said production fell 4 percent in the period to 57.3 million barrels of oil equivalent. ($1=.6945 Pound)
BG said in a statement released on Thursday that net profit, excluding non-operating items, was 695 million pounds ($1 billion) in the last quarter of 2008, ahead of an average forecast of 594 million pounds from a Reuters poll of six analysts.
The result was boosted by strong profits from shipping liquefied natural gas (LNG).
The profitability of shipping LNG again surprised analysts and, going forward, may offset the drop in profits from oil and gas production, one dealer said. Crude oil prices have collapsed since July.
BG increased its full-year dividend 20 percent to 11.23 pence per share.
Strong exploration success in Brazil helped BG to report a 64 percent year-on-year jump in proved and probable oil and gas reserves and to affirm its production growth of 6 percent to 8 percent to 2020.
However, developing these reserves will be expensive. BG expects capital expenditure for 2009-2012 to be 16 billion pounds and 4 billion pounds in 2009, up from an earlier estimate of 3.1 billion pounds.
Including one-off items, namely non-cash gains related to mark-to-market movements on long-term North Sea gas contracts, net profits rose 56 percent to 756 million pounds.
BG said production fell 4 percent in the period to 57.3 million barrels of oil equivalent. ($1=.6945 Pound)
