Core profit for energy contractor Saipem jumps 39 per cent in second quarter

Italian energy contractor Saipem reported a 39 per cent annual rise in its second-quarter core earnings and confirmed its guidance for this year on Wednesday.

Adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) came in at €413 million ($485 million) between April and June, beating an analyst consensus of €395 million compiled by LSEG.

Saipem's offshore and engineering and construction businesses were the drivers of growth in the second quarter as the group pressed ahead to complete orders achieved in the previous quarters.

New contracts acquired in the period dropped to €2.2 billion compared with €4 billion in the same period of last year, and were concentrated on its energy carriers business.

They included engineering, procurement and construction activities to expand Eni's biorefinery near Venice and a job related to Eni's carbon capture and storage project in Liverpool Bay, northern England.

The Milan-based group, which in February announced a preliminary agreement to merge with Norway's Subsea 7, said its net income rose three per cent to €63 million in the second quarter compared with the same period of last year.

(Reporting by Francesca Landini Editing by Keith Weir)