Petrom, first Romanian company to break EUR 1 bln profit barrier

Romanian oil and gas company Petrom has managed to surpass the EUR 1 billion profit threshold in 2013, when it upped its net profit by 22 percent year-on-year. Its net profit for the whole year was of EUR 1.09 billion, while its net profit in the fourth quarter of the year was of EUR 262 million. Petrom's sales however were down 8 percent for the whole year, and 15 percent in the fourth quarter. The level of sales for 2013 was of EUR 5.5 billion, which means its profitability rate was of about 19 percent. Petrom's sales in the fourth quarter of 2013 were of EUR 1.3 billion. “In spite of the depressed demand in the gas and power sectors, lower refining margins and electricity prices, Petrom recorded another strong financial performance due to operational excellence, strict cost control initiatives as well as favorable crude price environment,” said Mariana Gheorghe, CEO of OMV Petrom. She reminded of the better than expected economic growth for Romania in 2013,but also of the weak consumption remained, while the fiscal burden increased further. The full financial report for 2013 is here (in pdf, in English). The main shareholder in Romania’s Petrom is Austrian OMV, with 51 percent of the shares, while the Economy Ministry has 20 percent, and Fondul Proprietatea – managed by Franklin Templeton – another 19 percent, according to data from the Bucharest Stock Exchange. editor@romania-insider.com