Increases its dividend to 0.70 euros for 2023, advancing the remuneration foreseen in its plan by one year

Repsol obtained a net profit of 3,222 million euros in the first nine months of the year, a figure 66% higher than the 1,939 million for the same period last year, as reported by the company, which will accelerate the 'roadmap' of its dividend policy.

The adjusted net result -which measures the performance of the businesses- stood at 4,564 million euros at the end of September, almost tripling compared to a year ago. Close to 60% came from the international business, whose main exponent is the 'Upstream' area (exploration and production), which obtained a result of 2,431 million euros in the period driven by hydrocarbon prices.

Repsol stressed that this recovery path is allowing it to "partially offset the losses of more than 7,100 million euros in 2019 and 2020," derived from asset adjustments to be zero net emissions and the impacts of the COVID-19 pandemic. the Covid-19.

Repsol's CEO, Josu Jon Imaz, highlighted that the group "has taken steps of great relevance to promote its transformation, its multi-energy and decarbonised profile", highlighting in this regard the alliances with strategic partners closed in recent months for its businesses of 'Upstream' and Renewables as "fundamental" to continue advancing in its objectives and promote key areas.

With regard to the dividend, the group will increase to 0.35 euros gross per share the remuneration in cash that will be distributed to shareholders next January, while the board of directors will propose to its ordinary general meeting of shareholders the next year a complementary payment of another 0.35 euros gross per share.

Thus, the effective remuneration in 2023 of Repsol for its shareholders will increase by 11%, to 0.70 euros gross per share -compared to 0.63 euros this year-, with which the company will advance the expected remuneration target in its strategic plan for the year 2024.

To this must be added the repurchase of shares, another way of rewarding its shareholders. In this sense, the group will anticipate its objective of repurchase and amortization of shares in three years, and it is planned to reach the 200 million amortized shares established for the entire 2021-2025 period by the end of this year.

To do this, the energy company will launch a new buyback program that will allow it to amortize the 50 million shares that remain to achieve this multi-year goal.

In this regard, Imaz valued offering an "attractive" remuneration for shareholders, advancing its strategic commitments and "increasing the value for the more than 500,000 investors" of the company.

IT REDUCES THE DEBT TO 2,181 MILLION.

Likewise, the strong generation of operating cash from the company allowed Repsol to carry out a significant reduction in net debt, which closed September at 2,181 million euros, which represents a decrease of 3,581 million euros compared to that registered at the beginning of the present exercise.

For its part, the group's liquidity increased at the end of last September to 12,426 million euros, enough to cover 4.81 times the maturities of short-term debt.

With regard to investments, mainly focused on the Iberian Peninsula, they rose 47% in the first nine months of the year compared to the same period in 2021, to 2,397 million euros.

MORE THAN 2,000 MILLION TO INCREASE YOUR INVENTORIES.

Likewise, Repsol has allocated more than 2,000 million euros in the first nine months of the year to increase its inventories to guarantee supply in Spain.

The industrial business, where the energy company has made investments in refining since 2008 of around an average of 1,000 million euros per year, while in Europe refining capacity was reduced, showed a profit of 2,031 million euros in the period, driven by refining margins which, despite their high volatility, recorded average values ​​well above those of previous years.

PROVISIONS FOR IMPAIRMENT IN THE BOOK VALUE OF ITS REFINERIES.

However, despite the current positive moment in the refining business, Repsol decided to record provisions for impairment in the book value of its refineries, whose long-term profitability and competitiveness would be impacted if aspects such as the insecurity of the business environment are not corrected and regulatory and fiscal pressure in Europe. These provisions account for most of the specific results for the January-September period, which stood at -2,086 million euros.

In addition, the company, given the pressure on prices due to the international scenario, has maintained discounts on fuel since last March, with more than 300 million euros in savings for its customers. This decision explains the decrease to 373 million euros in the result of the Commercial and Renewables area.

On the other hand, the activity carried out by Repsol during the first nine months of the year led it to make a tax contribution of more than 11,800 million euros in the countries where it is present, of which more than 70% were paid in Spain.