Rosneft Reports Quarterly Profit of 31 Billion Rubles After Loss
OAO Rosneft, the world’s largest publicly traded crude producer by output, reported a second-quarter profit after buying BP Plc (BP/)’s Russian oil venture.
Net income attributable to shareholders was 31 billion rubles ($943 million) after a restated loss of 1 billion rubles a year earlier, the Moscow-based company said in a statement. Earnings before interest, taxes, depreciation and amortization were 215 billion rubles, matching the average estimate of 10 analysts surveyed by Bloomberg.
Rosneft completed a $55 billion cash and shares deal to acquire TNK-BP in March from BP and a group of billionaires, incorporating what was Russia’s third-largest producer in its results fully for the first time in the April through June period. Rosneft is the first Russian oil company to report second-quarter financial results.
Revenue rose about 62 percent to 1.18 trillion rubles.
Oil and gas output rose to 4.79 million barrels a day with the acquisition of TNK-BP. Crude output accounted for 4.185 million barrels a day. The price for Urals, Russia’s benchmark export blend, averaged about $102.06 a barrel in the second quarter compared with $110.68 a barrel a year earlier, according to data compiled by Bloomberg.
Net debt rose to 1.85 trillion rubles at the end of the period, according to a presentation on Rosneft’s website. Rosneft reported prepayments under long-term oil contracts of 26 billion rubles in the second quarter, compared with 232 billion rubles in the first three months of the year.
Rosneft shares narrowed losses, trading down 0.5 percent at 239.79 rubles at 6:07 p.m. in Moscow.
To contact the reporter on this story: Stephen Bierman in Moscow at email@example.com