29 Apr 2010 09:00
RELEASE
29.04.2010
Moscow
Gazprom reports its consolidated financial results under International Financial Reporting Standards (IFRS) for the year ended 31 December 2009
On 29 April 2010 OAO Gazprom issued its audited consolidated financial statements prepared in accordance with International Financial Reporting Standards for the year ended 31 December 2009.
Primary factors which influence these financial statements are:
- decrease of volumes of gas sold in all geographic segments;
- purchase of additional 20% interest in OAO Gazprom neft, change in subsidiaries of Gazprom neft Group (acquisition of controlling interest in Sibir Energy plc and Naftna Industrija Srbije), acquisition of 51% interest in OOO SeverEnergiya, which controls ОАО Arkticheskaya gazovaya kompaniya, ZAO Urengoil Inc. and OAO Neftegastehnologiya, acquisition of controlling interest in OAO TGC-1 and closing the swap agreement with E.ON Ruhrgas AG.
The table below presents the consolidated statement of comprehensive income prepared in accordance with IFRS for the year ended 31 December 2009 and 2008. All amounts are presented in millions of Russian Roubles.
|
|
| Year ended | ||
|
|
| 31 December | ||
|
| 2009 |
| 2008 | |
|
|
|
|
|
|
| Sales (net of excise tax, VAT and customs duties) |
| 2,990,971 |
| 3,285,486 |
| Net gain from trading activity |
| 8,295 |
| 4,221 |
| Operating expenses |
| (2,096,926) |
| (1,930,437) |
| Impairment provision and other provisions |
| (45,428) |
| (98,964) |
|
|
|
|
|
|
| Operating profit |
| 856,912 |
| 1,260,306 |
|
|
|
|
|
|
| Purchase of non-controlling interest in OAO Gazprom neft |
| 13,865 |
| - |
| Loss from change in fair value of call option |
| - |
| (50,738) |
| Gain from swap of assets transaction |
| 105,470 |
| - |
| Finance income |
| 375,799 |
| 165,603 |
| Finance expense |
| (441,487) |
| (341,179) |
| Share of net income (loss) of associated undertakings and jointly controlled entities |
| 62,557 |
| (16,686) |
| Gains on disposal of available-for-sale financial assets |
| 6,319 |
| 14,326 |
|
|
|
|
|
|
| Profit before profit tax |
| 979,435 |
| 1,031,632 |
|
|
|
|
|
|
| Current profit tax expense |
| (182,255) |
| (307,094) |
| Deferred profit tax (expense) benefit |
| (3,387) |
| 46,842 |
| Profit tax expense |
| (185,642) |
| (260,252) |
|
|
|
|
|
|
| Profit for the year |
| 793,793 |
| 771,380 |
|
|
|
|
|
|
|
|
|
|
|
|
| Other comprehensive income |
|
|
|
|
|
|
|
|
|
|
| Gains (losses) arising from change in fair value of available-for-sale financial assets, net of tax |
| 32,193 |
| (58,105) |
| Share of other comprehensive income (losses) of associated undertakings and jointly controlled entities |
| 7,098 |
| (4,972) |
| Translation differences |
| 1,704 |
| 20,340 |
| Revaluation of equity interest |
| 9,911 |
| - |
| Other comprehensive income (loss) for the year, net of tax |
| 50,906 |
| (42,737) |
|
|
|
|
|
|
| Total comprehensive income for the year |
| 844,699 |
| 728,643 |
|
|
|
|
|
|
| Profit attributable to: |
|
|
|
|
| owners of OAO Gazprom |
| 779,585 |
| 742,928 |
| non-controlling interest |
| 14,208 |
| 28,452 |
|
|
| 793,793 |
| 771,380 |
| Total comprehensive income attributable to: |
|
|
|
|
| owners of OAO Gazprom |
| 835,182 |
| 699,071 |
| non-controlling interest |
| 9,517 |
| 29,572 |
|
|
| 844,699 |
| 728,643 |
|
|
|
|
|
|
Sales (net of excise tax, VAT and customs duties) decreased by RR 294,515 million, or 9%, to RR 2,990,971 million in the year ended 31 December 2009 compared to the year ended 31 December 2008. More detailed information on our sales for the years ended 31 December 2009 and 2008 is presented in the table below.
| in millions of RR (unless otherwise stated) | Year ended 31 December | |
|
| 2009 | 2008 |
|
|
| |
| Sales of gas |
|
|
| Europe and other countries |
|
|
| Net sales (net of excise tax and customs duties) | 1,102,996 | 1,260,645 |
| Volumes in bcm | 152.8 | 167.6 |
| Average price, RR/mcm (including excise tax and customs duties) | 9,120.3 | 10,125.4 |
|
|
|
|
| FSU |
|
|
| Net sales (net of excise tax, VAT and customs duties) | 309,929 | 356,514 |
| Volumes in bcm | 56.7 | 96.5 |
| Average price, RR/mcm (including excise tax, customs duties and net of VAT) | 6,411.1 | 3,956.9 |
|
|
|
|
| Russia |
|
|
| Net sales (net of excise tax and VAT) | 503,121 | 479,387 |
| Volumes in bcm | 273.5 | 292.2 |
| Average price, RR/mcm (including excise tax and net of VAT) | 1,839.5 | 1,640.6 |
|
|
|
|
| Total sales of gas |
|
|
| Net sales (net of excise tax, VAT and customs duties) | 1,916,046 | 2,096,546 |
| Volumes in bcm | 483.0 | 556.3 |
|
|
|
|
| Net sales of refined products (net of excise tax, VAT and customs duties) | 540,505 | 652,956 |
| Net sales of electric and heat energy (net of VAT) | 195,040 | 134,335 |
| Net sales of crude oil and gas condensate (net of excise tax, VAT and customs duties) | 176,403 | 214,955 |
| Gas transportation sales (net of VAT) | 65,563 | 70,685 |
| Other revenues (net of VAT) | __97,414 | _116,009 |
| Total sales (net of excise tax, VAT and customs duties) | 2,990,971 | 3,285,486 |
|
|
|
|
Net sales of gas decreased by RR 180,500 million, or 9%, compared to the year ended 31 December 2008 to RR 1,916,046 million in the year ended 31 December 2009. This decrease was primarily due to decrease of volume of gas sold in all geographical segments. With that, there was an increase of average realized gas prices to Russia and FSU countries compared to the year ended 31 December 2008.
For the year ended 31 December 2009 net sales of gas to Europe and other countries decreased by RR 157,649 million, or 13%, to RR 1,102,996 million compared to the year ended 31 December 2008. This mainly results from the decrease of average realized prices in RR terms (including excise tax and customs duties) by 10% which was aggravated by the decrease of the volume of gas sold by 9%, or 14.8 bcm.
Net sales of gas to FSU countries decreased by RR 46,585 million, or 13%, to RR 309,929 million in the year ended 31 December 2009 compared to the year ended 31 December 2008. The decrease of sales in this segment is explained by the decrease of the volume of gas sold by 41%, or 39.8 bcm, which was compensated by the increase of average realized prices in RR terms (including excise tax and customs duties, net of VAT) by 62%.
Net sales of gas in the domestic market increased by RR 23,734 million, or 5%, to RR 503,121 million in the year ended 31 December 2009 compared to the year ended 31 December 2008. This is explained primarily by the increase in the average domestic price for gas set up by the Federal Tariffs Service, which was partially compensated by the decrease of the volume of gas sold by 6%, or 18.7 bcm.
Net sales of refined products decreased by RR 112,451 million, or 17%, compared to the year ended 31 December 2008 to RR 540,505 million. The decrease was primarily due to the deconsolidation of the Sibur Group and the decline in prices for refined products.
Net sales of electric and heat energy increased by RR 60,705 million, or 45%, to RR 195,040 million in the year ended 31 December 2009. The increase in electric and heat energy sales mainly resulted from consolidation as subsidiaries of ОАО WGC-2 and ОАО WGC-6 and operations of OAO Mosenergo.
In the year ended 31 December 2009 net sales of crude oil and gas condensate decreased by RR 38,552 million, or 18%, to RR 176,403 million. The decrease of net sales of crude oil and gas condensate primarily resulted from the activity of OAO Gazprom neft: net sales of crude oil decreased by RR 33,456 million, or 17%, to RR 157,874 million in the year ended 31 December 2009 compared to the year ended 31 December 2008.
Operating expenses increased by RR 166,489 million, or 9%, to RR 2,096,926 million in the year ended 31 December 2009 compared to the year ended 31 December 2008.
Major item whose growth resulted in the increase of the total amount of operating expenses is purchased oil and gas (RR 77,771 million). The cost of purchased gas increased by RR 71,370 million, or 19%, and the cost of purchased oil increased by RR 6,401 million, or 4%. The increase in cost of purchased gas was mainly caused by the increase in prices for gas from Central Asia. The increase was also driven by increase of the following expenses: Transit of gas, oil and refined products (RR 53,058 million), Depreciation (RR 26,181 million), Staff costs (RR 15,370 million), Other operating expenses (RR 35,152 million). This increase was partially compensated by the cost reduction within the following items: Cost of goods for resale, including refined products (RR 17,371 million), Taxes other than on income (RR 14,223 million), Repairs and maintenance (RR 13,455 million), Materials (RR 7,146 million), Electricity and heating expenses (RR 5,316 million).
In the year ended 31 December 2009 our profit for the period attributable to owners of OAO Gazprom totaled RR 779,585 million which is RR 36,657 million, or 5%, higher compared to the year ended 31 December 2008.
Our net debt balance (defined as the sum of short-term borrowings, including current portion of long-term borrowings, short-term promissory notes payable, long-term borrowings, long-term promissory notes payable and restructured tax liabilities, net of cash and cash equivalents and balances of cash and cash equivalents restricted as to withdrawal under the terms of certain borrowings and other contractual obligations) increased by RR 353,961 million, or 35%, from RR 1,018,346 million as of 31 December 2008 to RR 1,372,307 million as of 31 December 2009. This can be explained primarily by the increase in long-term borrowings.
More detailed information on the IFRS consolidated financial statements for the year ended 31 December 2009 can be found on www.gazprom.ru.
Information Directorate, OAO Gazprom
_____________________________________________________________________________________________
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