Oil and gas group Rompetrol Rafinare recorded a consolidated net profit of some USD 18 million in H1 2015, as compared to losses of USD 46.9 million during H1 2014, a company statement shows.
The company completed Q2 2015 with an USD 18.4 million profit, up from the USD 20 million losses registered in Q2 2014.
The consolidated operational result (EBITDA) registered a positive evolution reaching USD 56 million in H1 2015, twice the results of H1 2014. The results for Q2 reached USD 67 million, 4 times the results of the same period last year.
According to the company, the positive results were due to an increase of 11 percent in the quality of feedstock processed in Petromidia, Vega and petrochemicals, while processing cost were reduced. Finite product sales also went up 10 percent over the same period of 2014.
The consolidated gross turnover of Rompetrol Rafinare in H1 2015 reached some USD 2 billion (29 percent less compared to the same period last year) and in Q1 2015 amounted to 1.1 billion USD, in the context of a drop in international quotations on oil products from a level of USD 800-900/mt to a level of USD 400-500/mt.
The Petromidia refinery processes about 15,000 tons of feedstock per day, a 7 percent increase compared to 13,800 tons per day in 2014.
Amid the increase of production at the two refineries – Petromidia and Vega -, Rompetrol Rafinare exports increased by 12 percent compared to H1 2014, exceeding USD 763 million in H1 2015. While Petromidia processed 2.6 million tons of feedstock during H1 (up 15.8 percent y-o-y), reaching a new historical high (previous had been commissioned in 1979), Vega reached 156,752 tons (up 18.6 percent y-o-y).
Petromidia represents 43 percent of Romania’s processing capacity. The overall amount of KMG International and KazMunayGas investments in this platform exceeds USD 1.3 billion.
The refining division of the company registered a USD 36.4 million net profit in Q2 2015 and USD 44.4 million in the first half of the year compared to – USD 22.9 million negative result in H1 2014 and – USD 51.2 million in Q1 2014. The gross turnover of USD 1.7 billion registered by the refining segment in H1 2015 and USD 969.9 million in Q2 2015 was influenced by the 47 percent fall in Brent and Urals quotations in H1 2015 compared with the same period last year.
As a result of increased processing capacity, the internal and external sales also registered an increase. The company sold 821 thousand tons on the internal market in H1 2015 (7 percent more compared to the same period in 2014) and 1.1 million tons on the main external markets where KMG International subsidiaries are present as well as on the Black Sea region markets (11 percent more compared to H1 2014).
The volume feedstock processed by the Rompetrol Rafinare petrochemicals division saw an 8.2 percent increase in H1 2015 (91.6 thousand tons) over the same period last year. The overall polymer production in Q2 2015 reached 37.527 tons, 5 percent more year on year (35,728 tons).
The gross turnover for the distribution segment reached USD 1.11 billion in H1 2015, falling 26 percent against H1 2014. However, the volume of fuel sold during this period (289 thousand tons retail and 468 thousand tons wholesale) rose 1 percent and 2 percent respectively over H1 2014. LPG sales in H1 2015 were the same as in H1 2014 – 138 thousand tons.
The gross turnover, EBITDA and net result were influenced by the evolution of international quotations, USD-RON exchange rate and the local economic environment. The exchange rate was 22 percent higher in H1 2015 compared to H1 2014. Quotations in reference currency (USD) decreased by 39 percent for gasoline and 41 percent for diesel. The joint effect of the two factors determined a decrease of quotations in RON with 25 percent for gasoline and 27.5 percent for diesel compared to the same period in 2014.
Rompetrol Rafinare contributed over USD 678 million to the state budget in H1 2015, of which USD 389 million in Q2 2015.
KMG International runs its retail activities in over 1,000 own fuel distribution points in Romania, Georgia, Bulgaria, Moldova, Ukraine, France and Spain. The company operates 735 fuel distribution points in Romania (own stations, partner stations, Rompetrol Express, 9 and 20 cubic meters internal bases), 230 LPG distribution stations, 9,000 cylinder distribution points and 3 LPG bottling stations in Constanta, Arad and Bacau.
The consolidated financial results of Rompetrol Rafinare include the results of Rompetrol S.A., Rompetrol Quality Control S.R.L., Rom Oil S.A.. Rompetrol Downstream S.R.L,. Rompetrol Logistics S.R.L. and Rompetrol Gas S.R.L. subsidiaries.