Vår Energi AS Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

Vår Energi AS (OB:VAR) missed earnings with its latest yearly results, disappointing overly-optimistic forecasters. Results showed a clear earnings miss, with US$7.4b revenue coming in 3.3% lower than what the analystsexpected. Statutory earnings per share (EPS) of US$0.11 missed the mark badly, arriving some 59% below what was expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, the current consensus from Vår Energi's 13 analysts is for revenues of US$8.92b in 2025. This would reflect a major 21% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to bounce 297% to US$0.42. Before this earnings report, the analysts had been forecasting revenues of US$8.99b and earnings per share (EPS) of US$0.43 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

Check out our latest analysis for Vår Energi

It will come as no surprise then, to learn that the consensus price target is largely unchanged at kr39.58. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Vår Energi analyst has a price target of kr43.54 per share, while the most pessimistic values it at kr33.63. So we wouldn't be assigning too much credibility to analyst price targets in this case, because there are clearly some widely different views on what kind of performance this business can generate. As a result it might not be a great idea to make decisions based on the consensus price target, which is after all just an average of this wide range of estimates.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Vår Energi's rate of growth is expected to accelerate meaningfully, with the forecast 21% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 12% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see a revenue decline of 3.2% annually. So it's clear with the acceleration in growth, Vår Energi is expected to grow meaningfully faster than the wider industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, they made no changes to their revenue estimates - and they expect it to perform better than the wider industry. The consensus price target held steady at kr39.58, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Vår Energi going out to 2027, and you can see them free on our platform here.

It is also worth noting that we have found 3 warning signs for Vår Energi (1 shouldn't be ignored!) that you need to take into consideration.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.