Vopak raises lower range of 2024 profit outlook on sustained demand (updated)

Koninklijke Vopak NV

30/10/2024 06:36

(Recasts with profit outlook and details from paragraph 1-5)
    By Alban Kacher
       Oct 30 (Reuters) - Vopak  VOPA.AS  raised its 2024 core
profit outlook on Wednesday after reporting third-quarter
results slightly ahead of analysts' consensus, as the Dutch tank
storage firm continued to see solid demand for its
infrastructure services.
    The Rotterdam-based company said it now expects 2024
earnings before interests, taxes, depreciation and amortization
(EBITDA) between 930 million euros ($1.01 billion) and 950
million euros, compared with a previous guidance of 920-950
million euros.
        In July, Vopak upgraded its 2024 EBITDA target for the
second time this year amid strong demand across its markets and
expanded terminal capacity that boosted second-quarter results.
        Instability in the Middle East has stretched global
energy supply routes, while Russia's war on Ukraine has pushed
European countries to seek alternative oil and gas supplies,
increasing demand for storage space.
        Vopak has been looking to expand its gas and industrial
terminals to increase cash returns and to shed less profitable
assets in the oversupplied chemicals market.
    The company posted EBITDA of 233.3 million euros for the
third quarter, while analysts expected 231 million euros,
according to consensus figures quoted by ING.
    



($1 = 0.9243 euros)

 (Reporting by Alban Kacher; Editing by Eileen Soreng)
 ((alban.kacher@thomsonreuters.com))