Slovakia’s largest crude oil refiner group Slovnaft a.s. Bratislava, reported wholesale Q1 sales of SKK 15.094 billion. Compared with Q1 2002 this represents an increase by 37 percent. Sales of refined products rose 31 percent y/y to SKK 12.153 billion and sales of petrochemical products grew 72 percent to SKK 2.941 billion.

According to the group, growing crack spreads (the difference between the quoted price of a product and the quoted price of Brent crude oil) for petrol and diesel supported the sale of motor fuels during the first quarter of 2003. The military conflict in Iraq was partly behind rising crack spreads. During the first quarter of 2003 Slovnaft increased its share on the local petrol market by 2 percentage points to 71 percent while its share of the diesel market swelled by 4 points to 78 percent.

On the Slovak market the group achieved sales of SKK 3.524 billion, up 25 percent y/y. In the Czech Republic the group posted an almost 50 percent increase to SKK 4.921 billion. In Poland, Slovnaft’s sales amounted to SKK 1.391 billion, in Hungary it was SKK 1.226 billion, in Austria SKK 1.822 billion and in Germany the sales equaled SKK 1.002 billion.

Slovnaft’s retail network posted a year-on-year increase in petrol sales by 6.4 percent while diesel sales rose 8.4 percent when measured by sold volume. Its motor fuel retail market share on the domestic market increased moderately to 37 percent for petrol and to 38 percent for diesel.

Slovnaft group netted SKK 1.734 billion during the first quarter of 2003. Compared with the previous year’s period this means an increase by 181.4 percent. Operating profit increased from SKK 329 million in Q1 2002 to SKK 2.132 billion in Q1 2003. Simultaneously the group reduced its profit from financial operations by 75 percent to SKK 112 million. The results are unaudited, consolidated and in line with International Financial Reporting Standards (IFRS).

The group’s earnings before interest, taxes, depreciation and amortization (EBITDA) spiraled by 151 percent to SKK 2.998 billion. Net revenues from sales increased by 38.7 percent to SKK 17.416 billion. Slovnaft group comprises crude oil refinery Slovnaft, a.s., Slovnaft Moravia, Slovnaft CS and Slovnaft Polska. At the end of March, Hungarian oil company MOL controlled 70 percent in Slovnaft, the Bank of New York held 8.4 percent, Slovnaft CV III had 2.2 percent and Miguelka Investments Limited owned 2.1 percent.