Edison first-quarter profit hit as Iran war disrupts Qatar LNG supplies

By Francesca Landini

MILAN, May 7 (Reuters) - Italian energy company Edison EDNn.MI trimmed its full-year guidance on Thursday after its first-quarter operating profit halved mainly due to the force majeure declared by its liquefied natural gas supplier QatarEnergy.

QatarEnergy has cancelled 12 LNG cargoes expected by Edison, extending force majeure to early July, the Italian utility said earlier this week, updating customers on the impact of the Iran war on its business.

Edison had to unwind hedges on commodity prices following the announcement of the force majeure, hitting operating profit.

It said earnings before interest and taxes (EBIT) dropped to 101 million euros ($119 million) in the first quarter, from 203 million euros in the same period of 2025.

Net profit fell to 41 million euros from 139 million euros.

The U.S.-Israeli war with Iran has ‌severely disrupted ⁠global energy supplies, with the Strait of Hormuz – a conduit for about one-fifth of global oil and liquefied natural gas shipments – effectively closed.

Iranian attacks on U.S. bases and Gulf states have also knocked out 17% of Qatar's LNG export capacity, threatening supplies to Europe and Asia, QatarEnergy's CEO told Reuters in March.

Edison, a unit of French energy group EDF, has a long-term contract with QatarEnergy worth 6.4 billion cubic metres (bcm) of gas per year, or 10% of Italy's annual gas consumption.

The company, which is also contending with increasing competition and high volatility in energy prices, said it now expects 2026 core earnings to be at the lower end of a previously announced range of 1.2 billion to 1.4 billion euros.

($1 = 0.8509 euros)