SLOVNAFT Group reported 7% year-on-year increase in nine-month net sales to EUR 3.6 billion

  • Results positively affected by higher exports and company cost-cutting
  • Production of gasoline, diesel fuel and petrochemicals rise
  • Construction officially launched of new polyethylene production line

Bratislava, Slovakia, 21-11-2013 — /EuropaWire/ — SLOVNAFT Group has reported a 7% year-on-year increase in nine-month net sales to EUR 3.6 billion,while net profit rose 5% year-on year to EUR 43 million.SLOVNAFT saw sales during the period of its petroleum products grow 16% year-on-year to 4.53 million tonnes, of which almost 76% was exported.

There was a 24% rise in sales to foreign markets to 3.44 million tonnes, though domestic sales fell slightly to 1.1 million tonnes.“SLOVNAFT Group’s petroleum product sales increased in the first three quarters of the year mainly due to higher exports. This combined with an emphasis on internal cost cutting allowed Slovnaft to post strong economic figures,”said Oszkár Világi, Chairman of the Board and Chief Executive Officer of SLOVNAFT, a.s. “ On the other hand, a drop in domestic sales caused by weak economic growth in Slovakia, as well as a reduction in the difference between the prices of finished petroleum products and crude oil prices on international commodity exchanges, dampened the impact of cost side savings despite positive financial effects from exports.From this perspective, the numbers achieved by the SLOVNAFT Group in the current environment can be viewed as quite good, yet it remains vulnerable in the final quarter to run during the winter, what has traditionally been a complicated period.”

For the first nine months of the year Slovnaft’s Bratislava refinery processed 4.44 million tonnes of crude oil, which was 12% higher than the same period last year.Gasoline production for the first three quarters rose 5% year-on-year to 1.09 million tonnes.Production of diesel fuel saw 12% growth to 2.3 million tonnes.An increase was also reported in the production of petroleum products, rising 12% to 243,000 tonnes.

Investment in the first three quarters of 2013 reached EUR 44 million.Slovnaft also started construction in this period of a new unit for manufacturing polyethylene. “The new polyethylene production line, worth EUR 300 million, is considered by us to be an especially critical project for Slovnaft,” continued Mr. Világi. “We expect our investment program, which in the next period will include several oil refining projects in addition to the new polyethylene line, to contribute to keeping the SLOVNAFT Group competitive in the long term and maintaining positive results.”

At the end of September, the company was operating 212 petrol stations.


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