• Operational profit EBITDA LIFO of CZK 4.58 bn in 2Q16, net profit at the level of CZK 3.1 bn
• Revenues reached CZK 20.551 bn
• Sales volumes of refinery products increased by 4% y/y to 1.515 mt
• Benzina fuel stations increased retail market share in sales to 16.8%
• The company officially launched construction of the polyethylene unit PE3 and concluded acquisition of Spolana
In Q2 of 2016 the company Unipetrol recorded operational profit (EBITDA LIFO) of CZK 4.58 bn and net profit of CZK 3.1 bn. The revenues decreased (-37% y/y) on the level of CZK 20.55 bn, due to lower crude oil prices and lower petrochemical products sales. The operational results of the company Unipetrol were affected by the limited production due to steam cracker extraordinary situation from 13 August 2015 as well as planned turnaround at Litvinov chemical complex from March to April and also unplanned Kralupy refinery shutdown since mid-May. The financial results of the company were positively affected by received payments for steam cracker accident insurance claim of CZK 3.9 bn, higher refinery sales and higher sales of retail segment y/y.
„Despite the extraordinary event in Kralupy, we are able to supply our customers combining production in Litvinov refinery and external sources and thus the market is not affected by the shutdown of our refinery,” says CEO and Chairman of the Board of Directors of Unipetrol, Andrzej Modrzejewski. “We are successfully completing repair works in the steam cracker and in the following weeks we will start the production gradually. During the August eight of ten furnaces are expected to be relaunched which should be positively reflected in the third quarter results,” added Andrzej Modrzejewski.
In the downstream segment that combines refinery and petrochemical parts, the company recorded EBITDA LIFO of CZK 4.398 bn in 2Q16. Segment results were positively affected by received payments for steam cracker accident insurance claim of CZK 3.9 bn, higher sales of refinery products and also the positive effect of inventory revaluation. On the other hand the results of the segment were negatively affected by lower refining margins and significantly lower sales volumes of petrochemical products y/y, due to steam cracker extraordinary situation from 13 August 2015.
In the refinery part of the downstream segment, the company recorded higher sales of refinery products +4% y/y to 1.515 mt, thanks to sales of petrochemical feedstock and trading activities. The volume of crude oil processed in Q2 was on the level of 998 kt, the refining utilization ratio declined from 95% to 46% y/y. This was caused by limited production capacities in refineries in Kralupy and Litvinov.
The results of petrochemical part of downstream segment remains significantly affected by the extraordinary event at the steam cracker unit. The sales volumes of petrochemical products decreased to 227 kt (-49% y/y). The company finishes repairment works and plans to start gradually relaunching of the steam cracker unit from August. The standard operation of the steam cracker is expected in October 2016.
The retail segment recorded operational profit EBITDA LIFO of CZK 174 m in 2Q16. The y/y operational profit increase (+51 m CZK) was reached by higher fuel sales, higher fuel margins and better sales results also in the area of non-fuel segment. The company opened new Benzina fuel station in Osice at D11 highway close to Hradec Kralove and unmanned fuel station Benzina Expres in Podebrady. Thanks to higher sales, the network of Benzina fuel stations increased its market share to 16.8% (data from the end of April 2016).
Unipetrol commenced the construction of new polyethylene unit PE3 at the beginning of June. Once put into operation, the unit will be among the most advanced production facilities of its kind in Europe. It is the largest investment in the history of the Czech petrochemical industry in the amount of CZK 8.5 billion.
The company Unipetrol RPA concluded a share purchase contract with the company Anwil, under which it acquired a 100% shareholding in the company Spolana. Acquisition of Spolana will enable the Unipetrol Group to better plan and optimise the production function, prepare for planned commissioning of the PE3 installation in the future and to make it more resilient to external conditions.
UNIPETROL, a.s. is a group of companies operating in the petrochemical industry in the Czech Republic. In 2005 UNIPETROL became a part of the PKN ORLEN Group, the largest oil processor in Central Europe. The UNIPETROL Group is oriented mostly towards oil processing, fuel distribution and petrochemical production. In all of these business areas the UNIPETROL Group is among the key players both in the Czech Republic and on the Central European market. The Group ranks among the leading firms in the Czech Republic in terms of its revenues, and employs 4500 people.
Contact:
Mikuláš Duda
Press Department Manager
Telephone: +420 225 001 407, +420 736 502 520
Attachment No. 1
Consolidated un-audited financial statements (CZK million)
|
2Q15 |
1Q16 |
2Q16 |
Revenues |
32,523 |
17,686 |
20,551 |
EBITDA LIFO |
3,959 |
350 |
4,582 |
EBITDA |
4,567 |
559 |
4,260 |
EBIT |
4,071 |
103 |
3,774 |
Net profit |
3,227 |
-25 |
3,106 |
Operating profit EBITDA LIFO Segment Breakdown (CZK million)
|
2Q15 |
1Q16 |
2Q16 |
EBITDA LIFO |
3,959 |
350 |
4,582 |
Downstream |
3,910 |
132 |
4,398 |
Retail |
123 |
201 |
174 |