Origin (ASX:ORG) share price slides on mixed energy market sales

Investors don't appear very impressed with today's numbers…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Origin Energy Ltd (ASX: ORG) share price is trending downwards. The negative price movement comes after the energy company released its first-quarter update for FY22.

At the time of writing, shares in Origin are trading for $5.05 – down 1.37%. For context, the S&P/ASX 200 Index (ASX: XJO) is 0.66% lower.

Let's take a closer look.

Group of entrepreneurs feeling frustrated during a meeting in the office. Focus is on man with headache.

Image source: Getty Images

Why the Origin share price is dipping

In a statement to the ASX, Origin Energy gave an update on its trading and production levels.

  • Australia Pacific Liquified Natural Gas (APLNG) production and sales volumes for the quarter were stable compared to the June quarter "despite planned downstream shutdown during the period".
  • APLNG commodity revenue increased 25% on the prior quarter and 69% on the corresponding 2020 quarter, primarily driven by higher realised oil prices.
  • Electricity sales volumes were up 3% compared with the corresponding 2020 quarter. Retail volumes were "flat" with higher residential demand offset by lower usage due to solar and energy efficiency. However, natural gas sales were 7% lower.
  • There was a 6% increase in business volumes due to net customer wins, which "more than offset" COVID-related losses, according to the company.

These mixed results aren't impressing investors, at least judging by the falling Origin share price.

Management commentary

Origin CEO Frank Calabria said:

The rebound in global commodity prices drove a significant increase in revenue at Australia Pacific LNG for the quarter.

The announcement to sell a 10 per cent interest in Australia Pacific LNG represents an opportunity for Origin to crystalise some of the significant value we have created in this world-class asset, while retaining a substantial shareholding and our role as upstream operator.

In Energy Markets, our electricity volumes increased with net business customer wins and higher residential usage, offsetting lower demand from business and commercial customers due to a downturn in economic activity across many sectors.

Origin share price snapshot

Over the past 12 months, the Origin share price has increased 25.8%. Year-to-date, the company's shares appreciated only 4.7%.

Its 52-week high is $5.48 and its 52-week low is $3.87 per share.

Origin Energy has an approximate market capitalisation of $8.9 billion.

Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Energy Shares

An elderly man holds his chin in concern as he looks at his laptop screen.
Energy Shares

ASX 200 energy shares lift as pessimism over Iran war deepens

Oil and gas prices have spiked 15% to 18% this week amid ongoing constrained global supply.

Read more »

Oil industry worker climbing up metal construction and smiling.
Energy Shares

Why the Woodside share price has climbed 40% in 2026

Is the rally built to last, or is the easy money already made?

Read more »

An older Asian woman fills up her car with petrol at the service station.
Energy Shares

What key update is fueling Ampol shares today?

Acquisition progress lifts investor enthusiasm.

Read more »

Oil worker giving a thumbs up in an oil field.
Energy Shares

Up more than 300% over a year, this ASX energy share is hitting new highs

A fresh capital raise has investors fired up.

Read more »

A male oil and gas mechanic wearing a white hardhat walks along a steel platform above a series of gas pipes in a gas plant.
Energy Shares

Santos is back in focus. Here's why the shares are pushing higher today

Santos shares rise as its solid quarter keeps growth plans on track.

Read more »

A male oil and gas mechanic wearing a white hardhat walks along a steel platform above a series of gas pipes in a gas plant.
Energy Shares

Santos Q1 2026: Higher revenue, project ramp-up, steady guidance

Santos lifted revenue and production in the March quarter 2026, with major project progress and guidance reaffirmed.

Read more »

Woman refuelling the gas tank at fuel pump.
Energy Shares

Ampol's final ACCC remedy brings EG Australia acquisition closer

Ampol has updated its ACCC submission, now offering 41 sites for divestment to progress the EG Australia acquisition.

Read more »

A woman wearing green flexes her bicep.
Energy Shares

Genesis Energy upgrades FY26 guidance on strong Q3 earnings

Genesis Energy lifts FY26 guidance as Q3 sees strong hydro production, improved unit economics, and ongoing renewable energy investments.

Read more »