Eni Reports 94% Slump in Profit, Cuts Production Forecast
- Italian oil major to reduce capital-spending program by 30%
- Fuel, petrochemical product sales drop amid global lockdowns
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Eni SpA reported a 94% drop in first-quarter profit and cut its production forecast for the year as demand is crushed by the coronavirus pandemic.
While the large decline in earnings reflects in part a high tax rate, it provides signals for the rest of the industry, with the worst impact of oil’s historic plunge likely in the coming quarters. Investors are focused on how the companies handle one of the most turbulent periods in recent memory.