Gazprom profit jumps only 49%

Energy Trade

OAO Gazprom, the world's largest natural-gas producer, said profit jumped 49% last year on higher prices and sales in Europe, less than analysts expected. The shares fell. Net income rose to 315.9 billion rubles ($11.8 billion), from 211.7 billion rubles a year earlier, the company said on its Web site today. That's less than the median estimate of 349 billion rubles in a Bloomberg News survey of seven analysts. The results are to International Financial Reporting Standards. Revenue advanced 43% to 1.4 trillion rubles, more than the 1.28 trillion rubles expected in the survey, on higher prices in Europe, where Gazprom has a quarter of the market. The stock slipped 2.4% to $10.35 at 12:27 p.m. in Moscow. Russian President Vladimir Putin is seeking to turn Gazprom, which controls about a fifth of the world's known gas reserves, into an energy company big enough to compete with Exxon Mobil Co. Last year Gazprom bought Roman Abramovich's OAO Sibneft for $13.1 billion to boost its output of oil. It is now picking foreign partners for a $20 billion offshore project in the Arctic to supply liquefied natural gas to the U.S. Gazprom said European sales rose 38% to 619.1 billion rubles as the average price climbed to $202.54 per 1,000 cubic meters, versus $147.60 a year earlier. Sales rose just 2% by volume, to 156.1 billion cubic meters. State-run Gazprom, the sole exporter of Russian gas, sells the fuel at home at a loss because the government caps prices to subsidize businesses and homes and help contain inflation. The company said it sold gas in Russia at an average $37.73 per 1,000 cubic meters last year. Operating costs rose 30% last year. Debt rose 60 percent, to 797.5 billion rubles, mostly due to borrowing to purchase oil Sibneft, the statement said. (Bloomberg)



Hungary Trade Surplus at EUR 308 mln in April Trade

Hungary Trade Surplus at EUR 308 mln in April

Parl't Approves Amendments to Legislation on Judiciary Parliament

Parl't Approves Amendments to Legislation on Judiciary

Gloster Acquires P92 IT Solutions Deals

Gloster Acquires P92 IT Solutions

Landmark Budapest Dept Store to Reopen After HUF 8 bln Renov... History

Landmark Budapest Dept Store to Reopen After HUF 8 bln Renov...


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.