Petrom registers 826 million RON profit over first nine months

Petrom, the largest energy company in Romania, has posted in the third quarter of 2020 a net loss of 41 million RON, according to its financial data. Over the first nine months, the company has a profit of 826 million RON.

Petrom reported sales of around five billion RON in the third quarter 2020, 26% lower than in Q3 2019. Over the first nine months of the year, sales were 15.12 billion RON, 17% below those of 2019. The operating result was 570 million in Q3, 54% below that of Q3 2019, and for nine months it was 1.82 billion RON, 47% below the figure for the same period in 2019.

In Q3 2020, the company reported a net loss of 41 million RON, from a profit of 725 million RON in the same period of 2019. For the first nine months, Petrom was still in profit, by 826 million RON, a result 70% weaker than what it reported in the first nine months of 2019 – 2.7 billion RON.

Upstream

Clean Operating Result at RON (46) million vs. RON 546 million in Q3/19, mainly due to lower oil and gas prices Production decline at 6%, reflecting natural decline and planned maintenance activities

OPEX up 8% to USD 11.2/boe, on lower production available for sale and unfavorable FX

Downstream Oil

Clean CCS Operating Result at RON 373 million, 36% lower, on declining refining margins, partly counterbalanced by good performance of the sales channels in the context of the pandemic crisis

OMV Petrom indicator refining margin at USD 0.94/bbl, down by 85% u Refinery utilization rate at 86%, reflecting the planned shutdown in July

Retail volumes lower by only 3%, reflecting recovering demand

Downstream Gas

Clean Operating Result at RON 190 million, more than 3 times higher, driven by the excellent power business performance

Net electrical output 30% higher at 1.31 TWh, supported by positive spark spreads

Gas sales volumes dropped 9%, on lower quantities sold to wholesalers