A de-leveraged Italian gas “utility/E&P hybrid” with a Longanesi-driven production step-change and regulated infrastructure cash flows that can re-rate the stock if execution holds.
Overview
Gas Plus is a vertically integrated Italian gas company—Italy’s fourth-largest natural gas producer—spanning E&P, transport, storage/distribution, and retail delivery. This structure is central to the thesis: commodity-exposed upstream profits are partially hedged by stable, regulated cash flows from distribution/transport, creating resilience versus pure-play E&Ps. Revenue is concentrated in E&P (~59.5% of net sales) but supported by meaningful regulated distribution (~31.9%) and transport/distribution (~8.5%) activities. FY2025 marked a major inflection: revenue rose to €167.7M (+24% YoY), EBITDA to €78.8M (+57% YoY), and net profit to €19.8M (+58% YoY), driven primarily by a 50% increase in total gas production and a 117% surge in Italy. The company also de-risked financially by moving to net cash (€11.7M ex-IFRS16) and proposed a higher dividend (€0.25). Strategically, Gas Plus is aligned with Europe’s energy-security push through increased domestic Italian output and its Romanian MGD participation, which contributes roughly 10% of Romania’s gas needs.