OREANDA-NEWS. November 10, 2011.
Financial results of Q3 2011 compared to Q3 2010

Higher revenues by 44%;

Higher sales volume to Inland markets by 16%;

Decrease of losses and internal consumption rate by 0,25 p.p.

EBIT LIFO loss USD 6 million – by USD  15 million better than a year ago

ORLEN Lietuva reported a LIFO operational profit of USD 5 million in the first 9 months of 2011. In Q3 the company noted a LIFO operational loss amounting to USD 6 million. The negative result is primarily due to an unfavorable macro situation which deteriorated abruptly in September 2011. Nevertheless, compared to the same period a year ago, the operational result is better by USD 15 million, reported the press-centre of ORLEN Lietuva.

In spite of tough competition, in Q3 2011 ORLEN Lietuva managed to increase market share in domestic markets and recorded higher sales volume in inland markets by 16% compared to Q3 2010. Total sales volume remained on the same level as in Q3 2010, i.e. 2.4 million tons. These factors, combined with a higher operational effectiveness and lower energy intensity rate, became the fundament of financial performance of Orlen Lietuva.

"The nine-month results demonstrate our continuous efforts to improve operational efficiency, keep positive cash flow and stable growth in sale volumes despite uncertainty in the markets and challenges faced by the refining industry in Q3. We see positive prospects in the long term because of continuous improvement of the state of economy in the Baltic states," said Ireneusz Fafara, General Director of ORLEN Lietuva.

Series of activities implemented by PKN ORLEN and ORLEN Lietuva management in order to improve operational efficiency resulted in better capacity utilization of 96% in Q3, compared to 83% in Q2, growth of sales to inland markets and stable refinery performance indicators.