- Capital investments increased by 72 per cent, to more than HRK 280 million
- Oil production increased on existing fields in Croatia
- Lower gearing, decreasing from 30.6% to 26.2%
- Operating cash flow still strong
- Diesel share in sales increased
Zagreb, 30 April 2014 – INA Group’s EBITDA for Q1 2014 amounted to HRK 831 million. At the same time net profit amounted to HRK 241 million. Operating cash flow remains strong, at HRK 452 million in Q1 2014 while the Group’s financial position improved further as gearing level decreased to 26.2% in this quarter from 30.6% a year ago. Net debt amounted to HRK 4,687 million, 31% lower compared to the end of Q1 2013.
Capital expenditures in Q1 2014 increased significantly by 72% compared to Q1 2013, amounting to HRK 280 million. The predominant part, HRK 203 million, was invested in the Upstream segment in Croatia.
In Upstream, INA managed for the first time in the last ten years to increase crude oil production from existing fields in Croatia compared to the same quarter in the previous year by 3%. This is the result of an intensive well workover program launched late last year. This way the natural production decline trend of these fields, which INA has successfully mitigated already in the past 3-4 years, is temporarily reversed. Our similar efforts were also visible in onshore gas production, limiting the natural decline to a very low 1% against Q1 2013, while offshore gas production seems to be stabilizing.
Refinery operations are still burdened by the unfavourable external environment, with 27% and 32% lower average crack spread quarter on quarter and year on year, respectively. Despite that, sales structure improved with higher diesel share. INA maintained its strong retail and wholesale position in Croatia and continued to increase in Bosnia and Herzegovina.
The decrease of sales revenues by 22% compared to Q1 2013 is largely due to accommodating our natural gas sales to close to the level of our domestic production, with decreased import. Also, refinery utilization and refined product sales were adapted to market circumstances (i.e. less available profitable export sales opportunities).
Statement by Mr Zoltán Áldott, the president of the Management Board:
„As a result of our consolidation program that we implemented in INA over the last 4 years we managed to solidify INA’s financial position. Now, keeping the required financial prudence, our efforts have been focused on further enhancing our market position in a value-creating way and on implementing our growth projects, primarily in our upstream segment.
In upstream, due to the management’s concentrated attention to compensate the natural production decline of our legacy assets, we managed to increase oil production from our existing domestic fields, an achievement unprecedented in the last decade.
In downstream we adjusted our sales pattern even more to market needs by increasing value-added diesel sales and decreasing negative margin heavy residue sales.
We have created a strong platform for investments growth to set our company on a sustainable growth path. Although recent regulatory changes shall limit the dynamism and the availabel funds to fuel this growth but I can say with confidence that INA is on a good track.”
- O kompaniji
- Proizvodi i usluge
- Za vozače
- Veleprodaja i naručivanje
- Održivi razvoj
- INA i održivost
- Klima i okoliš
- Zdravlje i sigurnost
- INA u zajednici
- Integritet i transparentnost