|
Consolidated |
Q II 2015 |
Q II 2014 |
% |
H I 2015 |
H I 2014 |
% |
|
|
Gross turnover |
USD |
1.108.073.671 |
1.474.961.983 |
-25 |
1.986.067.239 |
2.781.710.867 |
-29% |
|
EBITDA |
USD |
67.003.922 |
16.108.104 |
316% |
56.283.332 |
25.483.149 |
121% |
|
Net result |
USD |
18.478.582 |
(20.161.506) |
N/A |
17.960.730 |
(46.988.271) |
N/A |
Rompetrol Rafinare, KMG International Member Company, recorded a consolidated net profit* of approx. 18 million USD in H1 2015. The result for the same period last year was -46.9 million USD (negative result). The company completed Q2 2015 with an 18.4 million USD profit as opposed to the 20 million USD loses in Q2 2014.
The consolidated operational result (EBITDA) registered a positive evolution reaching 56 million USD in H1 2015, twice the results of H1 2014. The results for Q2 reached 67 million USD, 4 times the results of the same period last year.
The positive evolution of company indicators was supported by the quality of feedstock processed in H1 2015 in Petromidia, Vega and petrochemicals (that is 11% more than in H1 2014) and by decreasing processing costs, increasing yields, improving technological processes and increasing the sales of the finite products by 10% comparing to the same period of 2014.
The performances were made possible thanks to the KMG International and its sole shareholder – the Kazakhstan National Oil and Gas Company KazMunayGas investments in increasing processing capacity to over 5 million tons per year and the modernization of industrial equipment.
Petromidia refinery processes approx. 15.000 tons of feedstock per day, a 7% increase compared to 13.800 tons per day in 2014. The company also implements the Change for Good transformation program aimed at improving the flow of specific activities – refining and petrochemicals, trading – logistics, retail – marketing.
Both the consolidated gross turnover of Rompetrol Rafinare in H1 2015 of approx. 2 billion USD (29% less compared to the same period last year) and for Q1 2015 (1.1 billion USD) were influenced by the drop in international quotations on oil products from a level of 800-900$/mt to a level of 400-500$/mt, regardless of the significant increase in sales.
Amid the increase of production at the two refineries – Petromidia and Vega and the petrochemicals division, Rompetrol Rafinare exports increased with 12% compared to H1 2014 exceeding 763 million USD in H1 2015.
Rompetrol Rafinare continued to be an important contributor to the state budget, paying over 678 million USD in H1 2015, of which 389 million USD in Q2 2015.
Petromidia represents 43% of Romania’s processing capacity. The overall amount of KMG International and KazMunayGas investments in this platform exceeds 1.3 billion USD.
Refining segment
|
Q II 2015 |
Q II 2014 |
% |
H I 2015 |
H I 2014 |
% |
||
|
Financial |
|||||||
|
Gross turnover |
USD |
969.907.774 |
1.280.539.352 |
-24% |
1.728.212.159 |
2.429.609.617 |
-29% |
|
EBITDA |
USD |
44.860.801 |
(2.303.311) |
N/A |
36.438.143 |
(7.263.575) |
N/A |
|
Net result |
USD |
24.886.173 |
(22.933.383) |
N/A |
44.451.332 |
(51.279.214) |
N/A |
|
Operational |
|||||||
|
Processed feedstock |
kt |
1.417 |
1.222 |
16% |
2673 |
2405 |
11% |
|
Internal fuel sales |
kt |
474 |
424 |
12% |
821 |
767 |
7% |
|
Export fuel sales |
kt |
559 |
473 |
18 % |
1.133 |
1.023 |
11% |
Note: The refining and petrochemicals divisions contain the results of Rompetrol Rafinare SA (that operates Petromidia and Vega refineries) together the petrochemical activity and the results of Rompetrol Petrochemicals SRL.
The refining division of the company registered a 36.4 million USD net profit in Q2 2015 and 44.4 million USD in the first half of the year compared to -22.9 million USD negative result in H1 2014 and -51.2 million USD in Q1 2014. EBITDA reached 44.8 million USD in Q2 2015 and 36.4 million USD in H1 2015, compared to the negative results for the same periods in 2014 (-7.26 million USD in H1 2014 and -2.3 million USD in Q2 2014). The gross turnover of 1.7 billion USD registered by the refining segment in H1 2015 and 969.9 million USD in Q2 2015 was influenced by the 47% fall in Brent and Urals quotations in H1 2015 compared with the same period last year. The volume feedstock processed by Petromidia in H1 2015 increased by 11% compared to the same period last year and reached 2.6 million tons – the largest processed volume during a quarter in the history of the refinery (commissioned in 1979).
Petromidia processed 1.4 million tons feedstock in Q2 2015, 15.87% more compared to the same period last year (1.22 million tons). The refinery capacity utilization reached 88.76%, a 12% increase compared to the same period last year.
The volume of feedstock processed by Vega reached 156.752 tons in H1 2015, 18.6% more compared to the same period in 2014 and 91.941 tons in Q2 2015, 14% more compared to the same period in 2014.
As a result of increased processing capacity, the internal and external sales also registered an increase. The company sold 821 thousand tons on the internal market in H1 2015 (7% more compared to the same period in 2014) and 1.1 million tons on the main external markets where KMG International subsidiaries are present as well as on the Black Sea region markets (11% more compared to H1 2014).
Petrochemicals segment
|
Q II 2015 |
Q II 2014 |
% |
H I 2015 |
H I 2014 |
% |
||
|
Financial |
|||||||
|
Gross turnover |
USD |
46.855.826 |
62.157.999 |
-25% |
96.879.413 |
162.181.743 |
-40% |
|
EBITDA |
USD |
4.615.651 |
533.059 |
N/A |
(3.204.321) |
207.501 |
N/A |
|
Net result |
USD |
3.203.547 |
(2.652.063) |
N/A |
(16.813.004) |
(4.511.129) |
N/A |
|
Operational |
|||||||
|
Processed propylene |
kt |
31 |
28 |
10% |
62 |
57 |
9% |
|
Processed ethylene |
kt |
14 |
15 |
-8% |
29 |
28 |
6% |
|
Total sales |
Kt |
39 |
43 |
-11% |
92 |
89 |
4% |
The volume feedstock processed by the Rompetrol Rafinare petrochemicals division saw an 8.2% increase in H1 2015 (91.6 thousand tons) compared to the same period last year. The overall polymer production in Q2 2015 reached 37.527 tons, 5% more compared to the same period last year (35.728 tons).
The petrochemicals division is the sole producer of polypropylene in Romania. The company aims to diversify production, especially secondary types of products.
The dynamic development strategy ensures a competitive position on the market of the Black and Mediterranean Seas region, central and Eastern Europe.
Distribution segment
|
Q II 2015 |
Q II 2014 |
% |
H I 2015 |
H I 2014 |
% |
||
|
Financial |
|||||||
|
Gross turnover |
USD |
645.274.536 |
848.542.534 |
-24% |
1.112.444.968 |
1.494.424.777 |
-26% |
|
EBITDA |
USD |
17.932.034 |
17.811.783 |
1% |
25.819.137 |
30.631.296 |
-16% |
|
Net result |
USD |
8.982.012 |
5.391.918 |
67% |
4.225.826 |
6.939.502 |
-39% |
|
Operational |
|||||||
|
Fuel - retail |
kt |
157 |
150 |
5% |
289 |
285 |
1% |
|
Fuel - wholesale |
kt |
279 |
263 |
6% |
468 |
458 |
2% |
|
LPG sales |
Kt |
72 |
74 |
-2% |
138 |
138 |
0% |
Note: the distribution division contains the Rom Oil, Rompetrol Downstream, Rompetrol Quality Control, Rompetrol Logistics and Rompetrol Gas subsidiaries’ results
The gross turnover for the distribution segment reached 1.11 billion USD in H1 2015, 26% less compared to H1 2014.
The volume of fuel sold in H1 2015 – 289 thousand tons retail and 468 thousand tons wholesale, 1% and respective 2% more than H1 2014. The LPG sales in H1 2015 were the same as in H1 2014 – 138 thousand tons.
The gross turnover, EBITDA and net result were influenced by the evolution of international quotations, USD-RON exchange rate and the local economic environment. The exchange rate was 22% higher in H1 2015 compared to H1 2014. Quotations in reference currency (USD) decreased by 39% for gasoline and 41% for diesel. The joint effect of the two factors determined a decrease of quotations in RON with 25% for gasoline and 27.5% for diesel compared to the same period in 2014. On the other hand, the fuel prices in Rompetrol stations were influenced by higher excises in H1 2015 compared to H1 2014. These factors determined a decrease of prices on average with 9% for gasoline and 10% for diesel in H1 2015 compared to the same period in 2014.
KMG International runs through Rompetrol Downstream a development and modernization program for the retail network, adaptation to the new Rompetrol concept in Romania, Georgia and Moldova.
KMG International runs its retail activities in over 1000 own fuel distribution points in Romania, Georgia, Bulgaria, Moldova, Ukraine, France and Spain. The company operates 735 fuel distribution points in Romania (own stations, Partner stations, Rompetrol Express, 9 and 20 cubic meters internal bases), 230 LPG distribution stations, 9.000 cylinders distribution points and 3 LPG bottling stations in Constanta, Arad and Bacau.
* The consolidated financial results of Rompetrol Rafinare include the results of Rompetrol S.A., petrochemicals activity and Rompetrol Quality Control S.R.L. Rom Oil S.A.. Rompetrol Downstream S.R.L,. Rompetrol Logistics S.R.L. and Rompetrol Gas S.R.L. subsidiaries.
** The presented results are not audited and consolidated and the reporting complies with IFRS standards.
KMG International
Communication and Public Relations department