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Research

Fortum: Uniper’s performance did not inspire confidence

By Juha KinnunenAnalyst
Fortum
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Fortum's subsidiary Uniper reported its Q2 result yesterday. We were aware that Uniper's gas business was in disarray following the disruption of gas supplies from Russia, but more problems seem to be piling up all the time. In addition to the weak operational performance, concerns were raised by the lack of clarity on how Uniper's stabilization package will ultimately stop gas losses at the EUR 7 billion threshold, which is now being rapidly approached. Management's talk of "negotiations" doesn’t inspire confidence in the situation. There is still value at the core of Fortum, but it is currently buried under the clutter of Uniper.

Fortum

11.41EUR17.08.2022, 18.00
11EURTarget price
Reduce
Changed from:Accumulate
Recommendation updated:18.08.2022

Fortum is active in the energy sector. In addition to the provision of electricity, a number of technical solutions are offered in heat optimization as well as apps that are used to keep track of energy consumption. The company also provides charging stations for electric cars. The largest activity is found around the Nordic market. The company was founded in 1998 and is headquartered in Espoo.

Read more on company page

Key Estimate Figures18.08.2022

202122e23e
Revenue112,400.0176,189.0159,859.0
growth-%129.3 %56.8 %-9.3 %
EBIT (adj.)2,536.0-6,821.3561.6
EBIT-% (adj.)2.3 %-3.9 %0.4 %
EPS (adj.)2.00-0.970.24
Dividend1.140.000.00
Dividend %4.2 %
P/E (adj.)13.5neg.69.0
EV/EBITDA47.2neg.19.2
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