LONDON, March 12 (Reuters) - Danish energy trading company Danske Commodities on Thursday reported higher revenues for last year on increased trading volumes, although low wholesale energy prices pushed earnings down.
Danske Commodities specialises in trading across 39 power markets and 23 gas markets. It was bought by oil and gas major Equinor in 2018.
Revenue rose 7% to 10.046 billion euros ($11.37 billion) in 2019 from 9.377 billion euros a year earlier as the firm boosted trading volumes by 39% due to increased automation, it said.
However, the increased trading volumes were partly offset by lower energy prices last year when a relatively mild winter combined with reduced demand in Asia resulted in a sharp fall in wholesale gas prices in Europe.
Cheaper renewables, more hydropower and lower electricity demand also reduced power prices and margins.
Earnings before income and tax (EBIT) were 50.2 million euros, down 30% from 71.8 million in 2018.
“For 2020, performance in terms of EBIT is expected to be higher than in 2019 when new business invested in during 2019 begins to materialise,” the company said.
The firm entered U.S. power markets last year. ($1 = 0.8835 euros) (Reporting by Nina Chestney; Editing by Kirsten Donovan)