Latest news with #Ebitda
Bloomberg
2 days ago
- Business
- Bloomberg
Earnings Tweak for Tariffs Draws Scrutiny to Urbaser's Debt Sale
Spanish waste management company Urbaser SA has removed a clause from deal documents that would have allowed it to exclude the impact of the US trade war from its earnings, according to people familiar with its debt sale. Urbaser, which is owned by private equity firm Platinum Equity, is seeking to raise €2.3 billion ($2.7 billion) in fresh debt from investors. An offering memorandum seen by Bloomberg included a provision that would have allowed it to tweak Ebitda, or earnings before interest, tax, depreciation and amortization, to exclude the impact of tariffs.
Bloomberg
2 days ago
- Business
- Bloomberg
Two Increasingly Important Groups Are Flocking to Private Credit
Welcome to Going Private, Bloomberg's twice-weekly newsletter about private markets and the forces moving capital away from the public eye. Today, we look at the motley crew that's flocking to private credit and a 'creative' new Ebitda adjustment. Plus the cash burn at a prominent AI firm. If you're not already on our list, sign up here. Have feedback? Email us at goingprivate@ — Silas Brown Private credit's fan base is growing. This week, Bloomberg wrote about two increasingly important groups — insurers and the super-rich.
The National
10-06-2025
- Business
- The National
Adnoc Gas awards $5bn in contracts for Rich Gas Development project
Abu Dhabi's Adnoc Gas has awarded contracts worth $5 billion for a key project that is part of its major operational expansion and self-sufficiency strategy. The final investment decision is the first of three phases for the Rich Gas Development project, which is expected to boost the company's Ebitda by 40 per cent through 2029, Adnoc Gas said in a statement on Tuesday. Ebitda – or earnings before interest, taxes, depreciation and amortisation – is a key metric used by companies to measure core profitability. The contracts are part of what Adnoc Gas, a unit of state-owned energy major Abu Dhabi National Oil Company, said is its biggest ever capital investment. They involve boosting key processing units to increase efficiency across its four gas facilities in Asab, Buhasa, onshore Habshan and Das Island, the company said. The engineering, procurement and construction management contracts were awarded in three tranches: Scotland-based professional services firm Wood secured $2.8 billion for Habshan, while a consortia of London-based Petrofac and Dubai's Kent received $1.2 billion and $1.1 billion for Das Island, and Asab and Buhasa, respectively. Adnoc Gas first hinted in November that it would make the investment decision for the Rich Gas Development project in 2025. A decision for another major project, the Bab Gas Cap development, is expected in 2026. The Rich Gas Development project will help develop new gas reservoirs, which in turn, would increase liquid gas exports, support the UAE's gas self-sufficiency agenda and provide feedstock to the country's growing petrochemical industry, the company said. The first phase of the project will focus on optimising and removing bottlenecks in existing Adnoc Gas assets while unlocking new and valuable gas streams, in addition to future-proofing its business. The company plans to decide on the next two phases of the project at Habshan and Ruwais to 'enable the delivery of greater production capacity to meet growing market demands', but did not give a timeline. The investment in the Rich Gas Development project marks a 'significant milestone' for the company, Fatema Al Nuaimi, chief executive of Adnoc Gas, said in the statement. 'This strategic investment is expected to deliver significant new value for our shareholders and enable continued sustainable growth for the company, our employees and the UAE,' she added. Adnoc Gas, which has access to 95 per cent of the UAE's natural gas reserves, is looking to boost exports of products such as liquefied natural gas, liquefied petroleum gas and naphtha. Its customers in the Emirates include utilities and industrial companies, which are supplied commercial quantities through an extensive network of pipelines. Adnoc Gas, alongside other Adnoc units, has been boosting investments to expand its geographical and operational reach. In May, the company reported a 7 per cent year-on-year increase in net income to $1.27 billion, driven by strong domestic demand for gas and continued economic growth in the UAE, the Arab world's second-largest economy. Adnoc Gas is also eligible for potential inclusion in the Morgan Stanley Capital International and Financial Times Stock Exchange emerging market indexes as early as June and September respectively, it said. Adnoc sold part of its stake in the subsidiary to institutional investors as it looks to improve liquidity and raise capital. The recently completed offering of 3.1 billion shares in Adnoc Gas increased the free float by 4 per cent to 9 per cent.
Mint
29-05-2025
- Business
- Mint
Deepak Nitrite's investors have to wait longer for margin to improve
Deepak Nitrite Ltd investors seem thrilled about the prospects of Ebitda margin bottoming out, going by its March quarter (Q4FY25) results. Ebitda margin soared to 14.5%, a staggering rise of 567 basis points (bps) QoQ. The stock increased over 5% to almost ₹2,110. But note that Q4 had government incentives worth ₹161 crore included in revenue, which was absent in Q3. Excluding that, Ebitda margin would have been 7.7%, lower than 8.9% in the preceding quarter. Nonetheless, the benefit of government incentives is likely to continue for the next couple of years at least and would be Rs60-70 crore on a sustained basis. The phenolics segment, forming nearly 70% of revenue, showed a return to normalized Ebit margin at 15.6%, up by 150bps year-on-year, although QoQ recovery is sharper as the margin had dipped to 8.9% owing to firm input prices. The spreads in phenolics have reached such a low that it has become difficult for most non-integrated producers to survive. The other segment—advanced intermediates—continues to struggle, with Ebit margin falling a whopping 1300 bps year-on-year to 7%, even though it recovered from an abysmal low of 3% in Q3. Advanced intermediates mainly caters to the agrochemicals, dyes, and pigment industries. The management believes that dyes and pigments are showing initial signs of demand bouncing back, but the recovery in agrochemicals remains uneven after the global destocking in the agrochemical (finished goods) business. Deepak Nitrite wants to reduce dependence on a few products in advanced intermediates by focusing on diversification through new variants and downstream products. It is also looking to reduce performance volatility through long-term supply contracts with a couple of large global customers. The company's earnings growth is more correlated to capital expenditure (capex) led volume growth rather than margin-led growth through pricing power. Capex projects costing ₹2,000 crore would be commissioned in FY26. Also Read: Deepak Nitrite's weak chemical margin comes as a shock catalyst However, the management refrained from giving any guidance for the future in view of the geopolitical uncertainties and ongoing tariff war. Over the long term, the company has a pipeline of expansion projects worth ₹15,000 crore up to FY28. During the earnings call, the management said aggressive capacity expansion in China has led to pricing pressure globally. So, unless there is rationalization of overcapacity, there is little hope. Even if Deepak Nitrite's cost savings initiatives do fructify, Bloomberg consensus estimates are factoring 23% CAGR in EPS for the next two years to FY27. Based on FY27 estimates, the stock trades at 27x, which is expensive for a commodity stock. Also Read: LIC's growth perils curb stock's valuation
Yahoo
09-05-2025
- Business
- Yahoo
U.S. Steel Swings to Loss on Mining Logistics, Lagging Spot Prices
The company said it expects third-quarter adjusted Ebitda between $375 million and $425 million as results in its North American flat-rolled segment improve. Sign in to access your portfolio
