INA published financial results for the first nine months of 2013

INA published financial results for the first nine months of 2013

  • solid performance with EBITDA excluding special items at the level of HRK 3 billion
  • Capital expenditures increased significantly by 38% to the level of HRK 1,019 million
  • gearing levels at around 28% which is a decrease of 14%
  • a fivefold sales volume increase in Slovenia and a solid 6% increase in B&H

Zagreb, October 30 2013 – INA – Industrija nafte, d.d. has published financial results of INA Group for the first nine months of 2013. In that period INA Group recorded positive results in both operating profit and net profit, which amounted to HRK 804 million and HRK 488 million, respectively.

INA Group delivered solid performance with EBITDA excluding special items for the first nine months 2013 at the level of HRK 3 billion, despite the economic slowdown on major markets where the company operates. Slow recovery in the European Union and decline in the domestic market have a continued adverse effect, further underlined by the lack of Syrian revenues and external environment.
Capital expenditures for the first nine months of 2013 increased significantly by 38% compared to the first nine months of 2012, to the level of HRK 1,019 million, driven by intensive exploration and development campaign in Croatia, multiple projects aimed at replacing or modernizing key production units in both Sisak and Rijeka refineries as well as higher level of activities in Egypt. Out of total CAPEX even HRK 781 million was invested in Croatia, what is 17 percent more than in the same period last year. As regards our retail network modernization project, the Blue Concept, INA has renewed 145 filling stations since the inception of the program, while additional 14 are in tendering and construction phase. As a result of executing these sizeable investments, INA has by far the largest modern filling station network in Croatia.
Constant effort in maintaining the Group’s solid financial position have stabilized the gearing level at around 27.8 percent as at 30 September 2013 with net debt amounting to HRK 5,709 million, decrease of 14 percent compared to 31 December 2012. To recall, yet in 2010 the gearing ratio was at dangerous 44 percent level.

Commenting on the financial results, INA Management Board President Zoltán Áldott reminded that the investments have been significantly increased, by almost 40% compared to the last year, primarily driven by intensive domestic exploration and development activities, but also multiple refining projects aimed at replacing and modernizing production units in Rijeka and Sisak refineries along with higher level of activities in Egypt. “Upstream activities are still challenged by natural production decline but internal efficiency