| Consolidated* | 2017 | 2016 | % | |
| Gross turnover | USD | 4,151,088,337 | 3,566,449,386 | 16% |
| EBITDA | USD | 210,724,926 | 186,548,315 | 13% |
| Net result | USD | 21,924,527 | 57,145,367 | -62% |
Rompetrol Rafinare, a KMG International Group member, has once again confirmed its profitability in 2017, obtaining a net consolidated* result of approximately USD 22 million, in the context of historical production records accomplished by the Petromidia Năvodari refinery and by the Vega Ploiesti refinery.
“The Petromidia Refinery has reached last year a new historical daily processing record since the incorporation of the industrial platform (1979), 5.66 million tons per year, the equivalent of 16,800 tons per day, up by 5% than the level of 2016. The main technological and operational parameters have reached unprecedented levels, such as the motor gasoline quantity produced by the refinery (1.46 million tonnes) or the diesel quantity (2.74 million tonnes), as well as the propylene quantity – 133,000 tons. The company’s constant performances, both the operational and financial ones, prove once again that the investments supported by KMG International and by its sole shareholder - KazMunayGas - Kazakhstans national gas and petroleum company, amounting to over USD 1.4 billion since the taking over of the business, have transformed this business in a dynamic and sustainable area", said Yedil Utekov, general manager.
The EBITDA amounted to over USD 210 million, up by 13% as compared to 2016 level, and the company gross turnover exceeded the value of USD 4 billion (+16%).
The company’s financial results were also positively influenced by the gross refining margin which in 2017 has improved by 20% against the 2016 one, as well as due to the production process optimisation programs.
The 2017 exports of Rompetrol Rafinare, carried on through the refining and petrochemicals divisions, amounted to USD 1.34 billion, up by 22% as compared to the year 2016, being mainly exported to Rompetrol gas stations from Moldova, Bulgaria and Georgia, but also to the partners in the Black Sea region. Rompetrol Rafinare is Romania’s greatest petroleum products exporter.
The company has continued to be an important taxpayer to Romania’s state budget, to which it transferred over USD 1.2 billion in 2017. The value of the state budget contribution exceeded USD 13.7 billion from 2007 to 2017.
The main shareholders of Rompetrol Rafinare SA are the KMG International (54.63%; directly and indirectly) and the Romanian state through the Ministry of Energy (44.69%).
The refining segment
| Financial | 2017 | 2016 | % | |
| Gross turnover | USD | 3,479,314,807 | 2,898,959,937 | 20% |
| EBITDA | USD | 164,429,049 | 124,717,672 | 32% |
| Net result | USD | 9,073,806 | 45,542,814 | -80% |
| Operational | ||||
| Processed raw materials by Petromidia refinery | kt | 5,662 | 5,408 | 5% |
| Processed raw materials - Vega | kt | 373 | 354 | 5% |
| Internal fuel sales | kt | 2,128 | 1,884 | 13% |
| Export fuel sales | kt | 2,111 | 2,118 | 0% |
Note: The refining segment includes the results of Rompetrol Rafinare SA, referring to the activity of the Petromidia and Vega refineries
For the refining segment, the gross turnover amounted to over USD 3.47 billion in 2017, up by 20% as compared to the similar period of the previous year, being influenced by a growth in the volume of processed and sold products on the domestic and external market, as well as by the international quotations of the petroleum products.
In the context of the record processed raw materials, the Petromidia refinery has obtained unprecedented production figures for white products (gasoline, diesel and jet fuel) i.e. 4.88 million tonnes, while the energy intensity index raised to 99.9%, the mechanical availability index to 96.47%, and the operational availability to 93.3%.
Last year, the refinery use capacity of Petromidia unit was of 86%, similar level to the 2016 indicator.
The oldest processing unit in Romania – commissioned in 1905, Vega refinery has processed a record quantity of raw material amounting to 373,000 tonnes in 2017, up by 5.3% as compared to last year. The Vega refinery is the only domestic producer of bitumen and hexane and in 2017 achieved a historical record as well regarding the bitumen production (96,000 tons).
The Vega refinery use capacity was 113% in 2017, up by 5.65% as compared to the level reached in 2016.
The petrochemicals segment
| Financial | 2017 | 2016 | % | |
| Gross turnover | USD | 191,326,498 | 180,271,804 | 6% |
| EBITDA | USD | (5,304,452) | 6,320,969 | N/A |
| Net result | USD | (12,977,684) | (11,264,121) | 15% |
| Operational | ||||
| Processed propylene | kt | 134 | 124 | 9% |
| Processed ethylene | kt | 64 | 65 | -2% |
| Total sales | kt | 191 | 190 | 1% |
Note: the petrochemicals segment includes the petrochemicals activity of Rompetrol Rafinare SA and of Rompetrol Petrochemicals SRL
In relation to the petrochemicals segment, the production unit has processed a propylene quantity of 134,000 tons in 2017, up by 9% as compared to 2016, and the total volume of processed raw material reached 198,500 tons. Also, the petrochemicals division produced a record quantity of polymerizable propylene – 20.000 tons and recorded the lowest energy index in the history - 18.7 GJ/tonne.
Rompetrol Rafinare is the only polypropylene producer in Romania, managing, on a consistent basis, to increase its market share for the secondary product categories. The strategic development strategy ensures the company a competitive position across the domestic market, as well as on the regional market, in the Black Sea, the Mediterranean, and the Central and Eastern European areas.
The distribution segment
| Financial | 2017 | 2016 | % | |
| Gross turnover | USD | 2,453,396,882 | 2,196,231,269 | 12% |
| EBITDA | USD | 52,903,438 | 55,320,629 | -4% |
| Net result | USD | 28,413,464 | 24,119,283 | 18% |
| Operational | ||||
| Fuel quantities - retail | kt | 693 | 636 | 9% |
| Fuel quantities - wholesale | kt | 1,191 | 1,126 | 6% |
| LPG quantities sold | kt | 363 | 273 | 33% |
Note: The distribution segment includes the results of the subsidiaries: Rom Oil, Rompetrol Downstream, Rompetrol Quality Control, Rompetrol Logistics and Rompetrol Gas
The consolidated gross turnover pertaining to the distribution segment amounted to over USD 2.45 billion in 2017, up by 12% as compared to 2016.
As a volume, in 2017 the fuel sales have increased by 9% on the retail segment, as compared to 2016, and the sales on the wholesale segment by 6%. The greatest sales growth was achieved on the LPG segment, up by 33% in 2017 as compared to 2016.
The positive financial results on the distribution segment are due both to the company investments in the fuel distribution network development, and in the business process optimisation. Moreover, the financial results were influenced by evolution of the international quotations, expressed in the USD - reference currency. The 6% increase of RON in relation to the American dollar, occurred in the 4th quarter of 2017, has caused an effective appreciation, in the national currency, of the two quotations, i.e. approximately 9% for gasoline and 14% for diesel.
At the end of December 2017, the Rompetrol Downstream distribution segment included 807 sale points, including its own station network, the partner stations and the mobile stations: express, internal base of 9 and 20 cubic meters.
* The Consolidated financial statements of Rompetrol Rafinare include the results of Rompetrol Rafinare S.A. and those of its subsidiaries: Rompetrol Quality Control S.R.L., Rom Oil S.A., Rompetrol Downstream S.R.L., Rompetrol Logistics S.R.L., Rompetrol Gas S.R.L. and Rompetrol Petrochemicals S.R.L.
* The results presented are not audited and consolidated, and the reporting was prepared according to the International Financial Reporting Standards (IFRS).