Gazprom Neft reports record net income for Q1 2017
Gazprom Neft has publishes its consolidated IFRS financial statements for Q1 2017.
Net income of RUB 62 bn, a year-on-year increase of 49.1%, driven by strong organic growth and management efficiency initiatives.
Adjusted EBITDA increased by 22% year-on-year to RUB 118 bn.
Hydrocarbon production, inclusive of joint venture operations, grew by 4.8% year-on-year to 21.95 m tonnes of oil equivalent.
Revenue, including duties (sales), grew by 28% to RUB 468.6 bn as a result of higher hydrocarbon production volumes and increased prices for oil and petroleum products in the global and domestic markets.
Higher production volumes and efficiency programmes initiated by the management delivered a 22.2% year-on-year increase in adjusted EBITDA to RUB 118 bn. During the reporting period, the Company achieved a record quarterly net income of RUB 62 bn, a year-on-year increase of over 49%.
Hydrocarbon production, inclusive of joint venture operations, reached 21.95 m tonnes of oil equivalent, up 4.8% year-on-year. This was triggered by production ramping up at the Novoportovskoye, Prirazlomnoye and Messoyakha fields and increased production in Iraq.
A reduction in oil products output in Q1 2017 was in line with the Company’s annual production plan, which factors in scheduled maintenance of large process ring units at the Moscow Oil Refinery as well as crude oil distillation units (CDU-4) at Slavneft-YANOS. Despite a challenging petroleum products market, Gazprom Neft increased its retail sales by 6.8% selling more than 2.5 m tonnes of petroleum products through its own filling station network.
Gazprom Neft is a vertically integrated oil company primarily engaged in oil and gas exploration and production, refining, and the production and sale of petroleum products.
