Bashneft's Net Income under IFRS for Q1 Totals 11.992 Billion Roubles
OREANDA-NEWS. Bashneft Group, which comprises JSOC Bashneft, its subsidiaries and affiliates, released its audited consolidated financial statements for the first quarter of 2013 prepared in accordance with International Financial Reporting Standards (IFRS)
In the first quarter of 2013, the Group’s revenue from sales increased by 5.8% year-on-year and totalled 125,580 million roubles. The growth of revenue is primarily related to a 75.7% year-on-year increase in exports of petroleum products to countries outside the CIS, as well as the 5.2% growth of the volume and a 15.9% rise in revenue from retail sales of petroleum products on the domestic market. During the period from January through March 2013, sales revenue decreased by 10.2% compared to the fourth quarter of 2012, which is primarily related to a seasonal decrease in demand and a reduction in wholesale prices for petroleum products on the domestic market.
During the period from January through March 2013, EBITDA increased by 9.2% quarter-on-quarter and totalled 21,223 million roubles. In the first quarter of 2013, net income attributable to the shareholders of the parent company increased by 11.5% quarter-on-quarter and amounted to 11,992 million roubles. Bashneft Group’s EBITDA decreased by 14.9% year-on-year, while net income attributable to the shareholders of the parent company declined by 10.1% year-on-year in the first quarter of 2013.
The key factors in the year-on-year decrease in income included higher costs related to an increase in exports of petroleum products to countries outside the CIS (higher export duties and transportation costs), as well as an increase in production and operating costs, which was mainly related to a rise in heat and electricity prices.
During the period from January through March 2013, capital expenditure totalled 5,820 million roubles. Capital expenditure increased by 18.4% year-on-year as large-scale investment projects were implemented in the refining segment.
In the first quarter of 2013, Bashneft Group’s net cash from operating activities amounted to 2,941 million roubles, which is 80% less than in the fourth quarter of 2012. The decrease in operating cash flow was mainly due to changes in working capital, including a seasonal increase in inventories.
As of the end of the first quarter of 2013, the Group’s net debt exceeded the level of the fourth quarter of 2012 by 4.9% and reached 81,804 million roubles.
In the first quarter of 2013, oil production at the Group’s fields totalled 3,844 thousand tonnes, which was slightly (0.1%) higher than in the same period in 2012. At the same time, in the first quarter of 2013, Bashneft’s average daily production reached a 17-year maximum of 42.7 thousand tonnes per day.
During the period from January through March, crude oil distillation at the Group’s refineries totalled 5,216 thousand tonnes, which is 1.9% more than in the first quarter of 2012. In the first quarter of 2013, the output of commercial products added 2.8%, amounting to 4,696 thousand tonnes. A year-on-year increase in the production of commercial gasoline totalled 4.4%. At the same time, the share of Euro 4 and Euro 5 gasoline increased to 94.7% compared to 43.2% in the first quarter of 2012.
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