Motor oil (Results 6M 2014): Βy Manos Chatzidakis

Motor oil (Results 6M 2014): The group reported an expected weak set of results yet in line with market expectations. Refining volumes increased 6.5% to 6,171mt on record exports rate (69.0%). Q2 sales posted a 5% increase to €2.35bn, aadjusted EBITDA increased by 124% at EUR 34.6mn, while the clean net loss came at €8.3mn vs losses of €19.5mn in 2Q 2013. Refining margins  in Q2 had retreated to the lowest levels since 2010 (27.8$/MT) while one off tax οf €4.3m included  reducing accordingly bottom line.

The following table summarizes Q2/H1 results:

Motor oil	Reported Results H1 2014
In thous, euro	2013	2014	Δ
Sales	4,431,703	4,528,720	2.2%
Q2	2,240,764	2,335,438	4.2%
EBITDA	61,067	60,957	-0.2%
(% Sales)	1.38%	1.35%	-3 bps
Q2	15,198	34,287	125.6%
(% Sales)	0.68%	1.47%	+79 bps
Net Income	-31,674	-16,628	47.5%
(% Sales)	-0.71%	-0.37%	+35 bps
Q2	-19,549	-8,369	57.2%
(% Sales)	-0.87%	-0.36%	+51 bps

Manos Chatzidakis

Head of research

Beta Securities S.A.