Norway's DNO Q3 revenue beats on higher realized oil prices

By Reuters News


Overview

  • Norway oil and gas operator's Q3 revenue rose sharply, beating analyst expectations

  • Net profit for Q3 rose 21% quarter-on-quarter

  • Production surged 61% from Q2, driven by Kurdistan restart and higher prices


Outlook

  • DNO expects 2026 North Sea production to average about 86,000 boepd

  • Company expects Kurdistan gross operated production to average 50,000 boepd in 2026

  • DNO targets North Sea production of 100,000 boepd by 2030


Result Drivers

  • KURDISTAN RESTART - Production increase driven by resumption of Kurdistan operations after four-month shutdown

  • HIGHER REALIZED PRICES - Co benefited from higher realized oil prices in both North Sea and Kurdistan


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$1.02 bln

$806.88 mln (3 Analysts)

Q3 Net Income

$101.10 mln

Q3 EBIT

$641.10 mln

Q3 Free Cash Flow

$326.50 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

  • Wall Street's median 12-month price target for Dno ASA is NOK22.50, about 6.6% below its October 28 closing price of NOK24.10

  • The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 4 three months ago


Reuters Recommended Reads

  • Oct 28 - Norway's Equinor Q3 adjusted operating income nearly doubles on higher output, gas prices

  • Oct 29 - Norway's Aker BP Q3 EBITDA beats analyst estimates; maintains annual production forecast

  • Oct 27 - Baker Hughes Q3 net income down by a third on Chart deal costs despite revenue, adj EPS beat


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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