Lukoil posts IFRS net profit of 105.4 bln rubles in H1
MOSCOW. Aug 29 (Interfax) - Lukoil posted a net profit of 105.4 billion rubles in H1 2016 under IFRS, the company reported.
Although Lukoil reported US GAAP figures in 2015, it provides IFRS figures for H1 2015 putting net profit at 167.8 billion rubles.
Revenue from sales topped 2.5 trillion rubles, down from 2.9 trillion rubles in H1 2015. EBITDA amounted to 381.6 billion rubles compared with 417.4 billion rubles a year earlier.
Net profit in Q2 2016 totaled 62.6 billion rubles on revenue of 1.3 trillion rubles. EBITDA was 189.6 billion rubles.
Analysts told Interfax in a consensus forecast that Lukoil's net profit would total 107 billion rubles in H1 and 61.7 billion rubles in Q2.
Capex was 241.4 billion rubles in H1, down from 304.8 billion rubles in the same period last year. The free cash flow increased to 93.4 billion rubles compared with 79.9 billion rubles a year earlier.
In the second quarter 2016, sales revenues increased by 13.7% compared to the previous quarter, EBITDA remained practically unchanged and profit grew 1.5-fold. The growth was driven primarily by higher average hydrocarbon prices, partially offset by lower compensation from the West Qurna-2 project, ruble appreciation against the dollar and euro, as well as decrease in refining margins, which was partially due to the increase in excise rates on refined products in Russia. Profit and profit growth was substantially impacted by non-cash foreign exchange effect due to high volatility of exchange rates.
In the first half 2016, financial results decreased year-on-year, which was mainly due to lower average hydrocarbon prices, increase in the oil extraction tax base rate, lower compensation from the West Qurna-2 project, as well as decline in refining margins. This was partially offset by positive effect of ruble depreciation to US dollar and euro. Among other positive factors were higher refinery throughput volumes, substantial improvement in the refined product slate, increase in sales via high margin channels and effective cost control.
EBITDA excluding West Qurna-2 increased by 7.1% quarter-on-quarter and remained practically unchanged compared to the first half 2015.
