In the first nine months of 2019, the Group observed an increase in sales of 13% YoY, a decrease in EBIT of 8% and an increase in net income of 3%.

As OMV Petrom published their nine-month 2019 results, we are bringing you key takes from it. According to the report, sales amounted to RON 18.19bn, representing an increase of 13% YoY, while solely in Q3 they observed an increase of 10% YoY. The mentioned increase can be attributed to the higher sales volumes for petroleum products, higher sales volumes and prices for natural gas, and higher prices for electricity. In contrast, lower selling prices for petroleum products partially offset the above-mentioned increases. Of the Q3 results, Downstream Oil represented 74% of total consolidated sales, while Downstream Gas accounted for 24% and Upstream for 2%.

In the 9m, the Clean CCS Operating Result amounted to RON 3.45bn, representing an increase of 2% YoY. However, in solely Q3, it amounted to RON 1.22bn, representing a sharp decrease of 27% YoY. Such a decrease could be attributed to the unfavorable oil price environment.

Clean Operating Result Upstream amounted to RON 2.14bn, representing a decrease of 12%, while in Q3 it recorded a sharp decrease of 43% YoY. Such a decrease was mainly driven by lower oil prices and hydrocarbon volumes.

Clean CCS Operating Result Downstream amounted to RON 1.33bn, representing an increase of 13%, while the result is flat when observing solely Q3. Of that, in Q3 Clean CCS Operating Result Downstream Oil was 7% higher, due to the increased demand for refined products and excellent operational performance. This was offset by a poor result of the Clean Operating Result Downstream Gas which recorded a decrease of 40% (amounted to RON 57 m).

In the first nine months, the Operating Result observed a decrease of 8% YoY, amounting to RON 3.2bn, while on a Q3 basis it recorded a sharp decrease of 44%. Such result was influenced mainly by unfavorable oil prices and the costs estimated for future soil remediation in relation to Arpechim refinery.

As a result of all of the above-mentioned, in Q3 net profit observed a decrease of 44% YoY, however on a 9m basis net profit still observed an increase of 3% YoY, amounting to RON 2.76bn.

OMV Petrom Performance (9m 2019 vs 9m 2018) (RON bn)