OMV Petrom reported net profit of 9.1 billion RON, five times higher in the first nine months

The net profit of OMV Petrom increased more than five times in the first 9 months of the year, compared to the similar period in 2021, from 1.676 to 9.156 billion RON, half of which was recorded only in the third quarter of 2022, the primary cause being the price increases of hydrocarbons, fuels, and electricity. OMV Petrom’s sales revenue increased by 160 percent, from 17.046 to 44.248 billion RON.

OMV Petrom’s total hydrocarbon production decreased by 9 percent in the first 9 months of the year (crude oil by 11 percent and gas by 8 percent), and hydrocarbon sales – by 8 percent (-10 percent crude oil and -7 percent that of gas). Decreases were also recorded in Q3 2022, compared to Q3 2021.

The operating profit of the exploration and production division of OMV Petrom doubled in the first 9 months, to over 6 billion RON, in Q3 increasing by 73 percent, to 1.92 billion RON. This while, according to the company, the cost of production increased by 7 percent in American currency, to 14.1 dollars/barrel of oil equivalent (boe), and by 23 percent in national currency, to 68.2 RON/boe, mainly due to higher energy and personnel costs, as well as lower production available for sale.

The average price realized by the company for crude oil advanced by 58 percent, from 57.23 dollars/barrel to 90.37 dollars/barrel. At the Romanian Commodity Exchange (BRM), the weighted average price of natural gas for transactions with medium and long-term standard products concluded in Q3 2022, regardless of the delivery period, was 917 RON/MWh, compared to only 217 RON/ MWh in the third quarter of last year.

On the spot market, the average quote was 848 RON/MWh (221 RON/MWh in Q3 2021). The electricity production of OMV from the Brazi plant increased by 9 percent, to 3.53 TWh. Instead, the average spot price on the OPCOM exchange for energy delivered in the band exploded by 259 percent, from 381 to 1,368 RON/MWh.

The operating profit of the gas and electricity division of OMV Petrom amounted to 3.492 billion RON for the first 9 months and to 2.57 billion RON in Q3, compared to the losses in the corresponding periods of last year, of 465, respectively 358 million RON.

In the refining and marketing segment, the operating profit of OMV Petrom increased by 79 percent in the first 9 months, to 3.71 billion RON, and by 57 percent in Q3, to 1.52 billion RON. By volume, sales of refined products rose 3 percent in January-September 2022 but fell 2 percent in Q3. OMV Petrom’s refining margin advanced by 231 percent in the first 9 months, from $4.78 to $15.85/barrel, and by 138 percent in Q3, from $7.19 to $17.10/barrel.