OMV Petrom sees more than double Q1 profit with steady revenues

Oil and gas company OMV Petrom posted a net income of RON 803 million in the first quarter of this year (around EUR 196 million), more than double than the profit it posted in the similar period of 2009, the company has announced. Its net sales reached RON 3.9 billion (around EUR 950 million) in the first quarter, which was only slightly up the sales in Q1 2009. "In the first quarter of 2010, we managed to extend the steady improvement of our results despite the challenging business environment, when the usual seasonal effects were compounded by the economic downturn,” said Mariana Gheorghe, CEO of OMV Petrom (in picture). The results were driven by a favorable crude price environment, the company has said. OMV Petrom is also planning a share capital increase, seeking to reach EUR 600 million in total issue proceeds for newly issued shares within one year from shareholder approval. The company received the shareholder approval in April 29, 2010. What does OMV Petrom expect for the remainder of the year in Romania? “In 2010, we expect the oil price to remain under volatile trading broadly within a range of USD 60- 85/bbl. Given the volatile economic environment, we expect to see a slightly weaker EUR versus RON and USD. The market for refined products is forecast to remain challenging throughout the year 2010, despite the recovery witnessed at the beginning of the year,” the company wrote in its report to shareholders.