MOL Group Q1 2018: Strong start to the year
- MOL Group delivered CCS EBITDA of USD 625 mn, a 2% increase year-on-year
- Strong growth in Upstream and Consumer Services earnings
- Lower refinery and petrochemicals margins weaken Downstream results
- Net profit at USD 238mn
Budapest, 4 May, 2018 – Today, MOL Group announced its financial results for Q1 2018. In the first quarter MOL Group increased its clean CCS EBITDA by 2% reaching USD 625mn and is well on track to achieve its annual USD 2.2bn EBITDA target.
Upstream EBITDA increased year-on-year by 31% and reached USD 287mn thanks to rising oil prices, higher production and lower costs. Daily production averaged 110 thousand barrels of oil equivalent as Catcher came on stream and production at other UK fields normalized.
Downstream clean CCS EBITDA fell by 33% to USD 218mn from an all-time high a year ago as refinery and petrochemicals margins fell as oil prices advanced further and maintenance activities also affected refining.
Consumer Services once again reported the best ever first quarter achievement with an USD 81mn EBITDA, an increase of 48% year-on-year, thanks to strong fuel and non-fuel contribution. Motor fuel consumption rose by around 3% year-on-year in the Central Eastern Europe region, providing a supportive environment.
The Gas Midstream segment reached USD 85mn EBITDA in the first quarter, up 21% year-on-year thanks to higher transit volumes and lower costs.
Chairman-CEO Zsolt Hernádi commented the results: “We managed to grow our EBITDA from a high base in the first quarter, which was a further testament to our resilient, integrated business model and it provides a firm base for another successful year and for the continued work on our strategic transformation. As oil prices kept on climbing and the regional demand remained robust and as refinery and petchem margins came under pressure, impressive earnings growth of the Upstream and Consumer Services segments more than offset the lower Downstream profits.”