Russia's Gazprom swings to $6.9 bln 2023 loss as sales to Europe plummet

Russia's natural gas producing giant Gazprom plunged to a net loss of 629 billion roubles ($6.9 billion) last year from a net profit of 1.2 trillion roubles in 2022, it said on Thursday, as gas sales to Europe more than halved. Analysts had expected net income of 447 billion roubles, according to Interfax news agency.

Russia's natural gas producing giant Gazprom plunged to a net loss of 629 billion roubles ($6.9 billion) last year from a net profit of 1.2 trillion roubles in 2022, it said on Thursday, as gas sales to Europe more than halved.

Analysts had expected net income of 447 billion roubles, according to Interfax news agency. Gazprom shares in Moscow were down around 3.3% at 1307 GMT.

Russia's gas exports to Europe, once its primary export market, have fallen sharply because of the political fallout from the conflict in Ukraine, while Gazprom, which has a monopoly on piping gas abroad, has been the most tangible victim of Western sanctions. Gazprom has also been engaged in an extensive programme of bringing natural gas to local households.

It said on Thursday it sustained a net loss of 364 billion roubles from sales in 2023, in contrast to a profit of 1.9 trillion roubles in 2022. Its total revenue fell to 8.5 trillion roubles last year from 11.7 trillion in 2022.

According to Reuters' calculations, Gazprom's natural gas supplies to Europe plummeted 55.6% to 28.3 billion cubic metres (bcm) in 2023. Gazprom has not published its own export statistics since the start of 2023.

($1 = 91.6730 roubles)