- EBIT increased by 55% to EUR 795 mn, net income after minorities increased by 34% to 446 mn
- Result per share increased by 34% to EUR 1.49
- Strong contribution of all business segments
- Excellent position for further growth and strengthened competition in Central Europe
OMV Aktiengesellschaft, Central Europe's leading oil and gas group, generated another record result in the first quarter 2008. From January to March 2008 Group sales increased by 30% to EUR 5.96 bn, EBIT (earnings before interest and taxes) rose by 55% to EUR 795 mn. The EBIT contribution of Petrom increased by 104% and was EUR 277 mn. Net income of the OMV Group - compared to the first quarter 2007 - increased by 34% to EUR 446 mn. Cash flow of operations increased by 21% to EUR 813 mn. The gearing ratio is 24%.
CEO Wolfgang Ruttenstorfer commented: "After the excellent results of the financial year 2007 we once again achieved a record result for the first quarter in 2008. This reconfirms that we are the leading oil and gas company in Central Europe. Petrom's strong results show that our restructuring process is successful in Romania. We will continue to strengthen our leading position. As oil and gas company benefitting the most from the opportunities offered by the European "growth belt" we are perfectly set up for the coming consolidation in this region."
From January to March 2008, total investments of EUR 815 mn were clearly higher than those of the first quarter 2007 (1Q/07: EUR 528 mn). EUR 628 mn of these investments were directed into E&P, mainly for the acquisition of the oil service activities of Petromservice and for the development of new fields in Romania, Austria, the UK, Kazakhstan and New Zealand. Approximately EUR 144 mn was invested into R&M, mainly for investments in quality enhancement projects in Austria and Romania. In Gas and Power (G&P) EUR 27 mn was invested, mostly into the expansion of the West-Austria gas pipeline (WAG). At the end of March 2008, OMV Group (incl. Petrom) had 42,727 employees.
Significant events in the first quarter 2008
OMV and Gazprom signed a cooperation agreement for them to acquire a 50% interest in the Central European Gas Hub on January 25. This participation relates to the virtual trading hub, the Central European Gas Hub which with this partnership is set to become continental Europe's most important trading platform, further strengthening Europe's security of supply. The physical Baumgarten hub, the entry point for more than a third of Gazprom´s exports to Western Europe remains wholly in OMV´s ownership.
On February 1, OMV announced that the European Commission's Directorate General Competition has received OMV's formal merger notification regarding its intended combination with MOL.
On February 5, RWE Gas Midstream signed agreements to join the Nabucco consortium as sixth strategic partner. From 2013 onwards the pipeline is expected to connect Europe with the natural gas reserves in the Caspian region and the Middle East.
On March 10, OMV announced its plan to optimize the filling station network in Austria and to sell 50 OMV and 50 Avanti filling stations. The sale is expected to be finalized by year-end 2008.
OMV was awarded one additional offshore exploration license in Norway on March 11. The new license is located in the Norwegian Sea in high quality exploration acreage and will be operated by OMV (Norge) AS.
On March 27, Petrom and Romgaz signed a protocol for the contribution to the Social Gas Fund set up by the Romanian government to support private consumers. Petrom's contribution in 2008 to the fund amounts to RON 80 mn (approx. EUR 22 mn).