Fortum’s Q1 Financial Performance Exceeds Expectations despite Decline in Revenue

Despite a decline in revenue, Fortum, an energy company, exceeded analysts’ expectations at the beginning of the year. In January-March, the company collected EUR 2,015 million, which was below the comparison period a year ago but surpassed analysts’ consensus forecast of 1,828 million euros.

Fortum’s comparable EBITDA at the beginning of the year was 662 million euros, higher than analysts’ average expectation of 549 million euros. However, this figure was lower than the 781 million euros recorded in the comparison period a year ago. The company’s comparable operating profit was 530 million euros, above analysts’ consensus prediction of 451 million euros. In contrast to last year’s earnings per share of EUR 0.60, Fortum reported EUR 0.53 at the beginning of the year, which surpassed analysts’ average expectation of EUR 0.39.

Markus Rauramo, Fortum’s CEO attributed the decline in earnings to factors such as low gas and electricity prices in Europe but also highlighted positive developments like arbitration proceedings against Russia to protect legal position and interests. Despite challenges in national economies and high inflation levels, Rauramo remains optimistic about Fortum’s future outlook and plans to invest strategically and adapt to market dynamics to sustain growth trajectory and deliver long-term value to shareholders.