OAO Bashneft, the oil producer controlled by billionaire Vladimir Evtushenkov’s AFK Sistema, said profit rose 34 percent, beating analysts’ estimates on higher sales of domestic products.
Net income increased to $547 million in the third quarter from $407 million a year earlier, the company said in a statement on its website. That beat the $464 million average estimate of six analysts surveyed by Bloomberg. Revenue advanced 3.7 percent to $4.62 billion.
“The third quarter was our company’s most successful this year” after increasing retail sales, Bashneft President Alexander Korsik said in the statement.
Bashneft sold about 0.2 million metric tons from inventory in the third quarter, driving profits, Alexander Kirevnin, an oil analyst at VTB Capital, said today by e-mail.
Oil production gained 1 percent to 3.88 million tons in the quarter, while refining volumes added 0.5 percent to 5.32 million tons, according to Bashneft.
Russian oil companies benefited as export duties lagged behind increase in prices for crude and products in the third quarter. OAO Rosneft, Russia’s largest oil producer, more than tripled profits. TNK-BP, Russia’s third-largest producer, and OAO Gazprom Neft also gained.
Bashneft’s earnings before interest, taxes, depreciation and amortization, a measure of profitability, advanced 34 percent to $962 million.