Origin Energy (ASX:ORG) reports non-cash impairment of $1.24 billion

Company News

by Rachael Jones

Origin Energy (ASX:ORG) expects to recognise a non-cash post-tax charge in the range of $1.16 billion to $1.26 billion in its 2020 financial year results.

The non-cash charges relate to updated year-end valuation estimates primarily driven by revised commodity price assumptions, the associated economic impacts of the Covid-19 pandemic, and the progressive transition to a lower carbon energy supply.

The company reiterated its guidance, saying is expected energy markets underlying EBITDA to be between $1.4 billion and $1.5 billion.

Shares in Origin Energy (ASX:ORG) are trading 1.5 per cent higher at $5.83.