OSLO, July 26 (Xinhua) -- Norwegian oil and gas company Equinor on Thursday reported a net income of 1.2 billion U.S. dollars in the second quarter of 2018, down from 1.4 billion dollars in the same quarter of 2017.
The net operating income of Equinor, formerly known as Statoil, was 3.8 billion dollars in the second quarter compared to 3.2 billion dollars in the same period of 2017, the company said in a statement.
In the quarter, Equinor had a net impairment reversal of 0.3 billion dollars and a negative effect from changes in the unrealized fair value of derivatives of 0.5 billion dollars, it said.
Equinor's adjusted earnings were 4.3 billion dollars in the second quarter, up from 3.0 billion dollars in the same period in 2017. Its adjusted earnings after tax were 1.7 billion dollars in the second quarter, up from 1.3 billion dollars in the same period last year.
Higher prices for both liquids and gas, coupled with high production, contributed to the increase, the company said.
Meanwhile, due to increased maintenance and some quarter and field specific items, underlying operating costs and administrative expenses per barrel are slightly up compared to same quarter last year.
"We capture value from higher prices and deliver solid results and cash flow from operations," Equinor president and CEO Eldar Saetre was quoted as saying.
"This quarter we deliver very strong results from our international operations, while new fields, increased maintenance and some quarter specific items contribute to somewhat higher costs at the Norwegian continental shelf," he said.
