9 Nov 2017 07:00
OMV Petrom Group: results1 for Q3 and January - September 2017
including interim condensed consolidated financial statements as of and for the period ended September 30, 2017
Highlights Q3/17
u Strong free cash flow of RON 959 mn
u Clean CCS Operating Result at RON 1,042 mn, of which around 60% from Downstream
u Excellent clean CCS EPS at RON 0.0137
u Free float increased to 18.35%
Mariana Gheorghe, CEO of OMV Petrom S.A.:
"In Q3/17, we enjoyed another quarter with strong macroeconomic fundamentals supporting higher demand for our products and higher sales volumes. We benefitted from increased commodity prices and very strong refining margins. In addition, we continued our strict cost discipline to increase our competitive position and moved forward with investments.
As a result, our 9m/17 Clean CCS Operating Result reached RON 2.7 bn, with both Upstream and Downstream showing significant increases. In Upstream, further reduced production costs overcompensated the impact of production decline. In Downstream Oil, the solid results reflected higher sales volumes, mostly in retail, and a continued high asset utilisation. Downstream Gas had an improved performance and benefitted from the booking of insurance revenues for the Brazi power plant. The free cash flow improvement was a result of higher operating cash flow and lower investments.
We expect 2017 CAPEX to be below EUR 0.7 bn, while maintaining the guidance for the daily average production decline.
On September 21, 2017, our free float increased to 18.35% as a result of the sale of a 2.56% stake by Fondul Proprietatea.
We have recently seen progress with respect to government proposals regarding the royalty regime, for both onshore and offshore, as well as the operational framework for offshore activities."
Q3/17 | Q2/17 | Q3/16 | Δ%2 | Key performance indicators (in RON mn) | 9m/17 | 9m/16 | Δ% |
1,042 | 892 | 604 | 72 | Clean CCS Operating Result 3 | 2,701 | 1,247 | 117 |
873 | 779 | 575 | 52 | Operating Result 4 | 2,450 | 1,141 | 115 |
778 | 690 | 442 | 76 | Clean CCS net income attributable to stockholders 3,5,6 | 2,054 | 899 | 128 |
639 | 592 | 473 | 35 | Net income attributable to stockholders 5 | 1,849 | 882 | 110 |
0.0137 | 0.0122 | 0.0078 | 76 | Clean CCS EPS (RON) 3,5,6 | 0.0363 | 0.0159 | 128 |
0.0113 | 0.0104 | 0.0084 | 35 | Earnings Per Share (RON)5 | 0.0326 | 0.0156 | 110 |
1,470 | 1,714 | 1,613 | (9) | Cash flow from operating activities | 4,446 | 3,384 | 31 |
959 | 397 | 1,115 | (14) | Free cash flow after dividends | 2,002 | 1,126 | 78 |
1The financials are unaudited and represent OMV Petrom Group's (herein after also referred to as "the Group") consolidated results prepared according to IFRS; all the figures refer to OMV Petrom Group, unless otherwise stated; financials are expressed in RON mn and rounded to closest integer value, so minor differences may result upon reconciliation; OMV Petrom uses the National Bank of Romania exchange rates for its consolidation process
2 Q3/17 vs. Q3/16
3 Adjusted for exceptional, non-recurring items; Clean CCS figures exclude special items and inventory holding effects (CCS effects) resulting from Downstream Oil
4 Income statement has been restructured in line with industry best practice. Further information to be found on page 15
5After deducting net result attributable to non-controlling interests
6 Excludes additional special income from a legal dispute reflected in the financial result
OMV Petrom will organize a live presentation of the Q3/2017 results on November 9, 2017, starting 3.00pm (local time) / 2.00pm (CET) / 1.00pm (GMT). The presentation will last approximately 20 minutes, followed by a Q&A session, and will be hosted by:
· Mariana Gheorghe, President of the Executive Board & CEO
· Stefan Waldner, Executive Board Member & CFO
The presentation will be held in English and will be broadcasted through a live audio webcast, which can be accessed from the company's website, www.omvpetrom.com, section OMV Petrom › Investor Relations › Financial calendar and events › Quarterly publications.
Click on, or paste the following link into your web browser, to view the associated PDF document.
http://www.rns-pdf.londonstockexchange.com/rns/9964V_-2017-11-9.pdf