REPYF - Repsol S.A. (REPYY) Q1 2024 Earnings Call Transcript
2024-04-26 04:46:08 ET
Repsol, S.A. (REPYY)
Q1 2024 Earnings Conference Call
April 25, 2024 06:30 ET
Company Participants
Ramón Álvarez-Pedrosa - Investor Relations
Josu Jon Imaz - Chief Executive Officer
Conference Call Participants
Sasikanth Chilukuru - Morgan Stanley
Biraj Borkhataria - RBC
Michele Della Vigna - Goldman Sachs
Alastair Syme - Citi
Matt Lofting - JPMorgan
Alejandro Vigil - Santander
Alessandro Pozzi - Mediobanca
Henri Patricot - UBS
Pedro Alves - CaixaBank
Kim Fustier - HSBC
Matt Smith - Bank of America
Anish Kapadia - Palissy Advisors
Presentation
Ramón Álvarez-Pedrosa
Good afternoon, and welcome to Repsol First Quarter 2024 Results Conference Call. Today’s call will be hosted by Josu Jon Imaz, our Chief Executive Officer, with other members of the executive team joining us as well.
Before we start, let me draw your attention to our disclaimer. During this presentation, we may make forward-looking statements based on estimates. Actual results may differ materially depending on a number of factors as indicated in the disclaimer.
I will now hand the call over to Josu Jon.
Josu Jon Imaz
Thank you, Ramon. Hello, good afternoon to everybody, and thank you for joining us today. I’ll begin this presentation with a review of the main [indiscernible] followed by our business performance and results. After the presentation, we will be available, of course, to answer your questions. To begin with, last February, Repsol released its strategic update for the period 2024 to 2025, a story of value growth built on our strengths. This updated road map preserves the foundation of our previous strategic plan, adapting them to the new energy context and a better positioning of Repsol.
Our longer term vision remains doubly unchanged: being committed to our decarbonization targets and the profitable business opportunities identified in the energy transition. The new plan prioritizes shareholder distributions in order to provide certainty, predictability and upside to our dividend. In the next 4 years, our commitment is to allocate between 25% to 35% of the cash flow from operations to remunerate our shareholders, including dividends and share buybacks. We’ll distribute €4.6 billion in cash dividends guaranteed regardless of the scenario. This year, we will increase the dividend by around 30% to €0.9 per share. And from 2025 to 2027, we’ll increase the funds distributed as dividends by 3% per year.
On top of this, in our central case, remember that we talked about a central case 8 weeks ago, we will devote up to €5.4 billion to buybacks for a total of €10 billion in shareholder distributions in the 4 years of the plan. Hence, DPS or distribution per share will grow well above the 3% baseline, reaching in the best scenario up to a 12% annual growth from 2025 to 2027....
Repsol, S.A. (REPYY) Q1 2024 Earnings Call Transcript