MOL Q3 earnings jump on higher crude prices, wider refining margins


Third-quarter net income of Hungarian oil and gas company MOL rose 145% year-on-year to HUF 139.2 billion as crude prices climbed and refinery margins improved, state news wire MTI reports, citing an earnings report published Friday.

Revenue increased 56% to HUF 1.658 trillion.

Cost of raw materials and consumables rose 53% to HUF 1.199 tln and total operating costs climbed just 47% to HUF 1,468 tln.

Operating profit jumped 171% to HUF 190.6 bln.

A breakdown by business segment shows downstream turnover rose 67% to HUF 1.473 tln, while operating profit of the business rocketed 273% to HUF 88 bln.

Upstream revenue rose 73% to HUF 172.5 bln and the business had an operating profit of HUF 65.2 bln, compared to a HUF 1.7 bln loss in the base period.

MOL's consumer services business had turnover of HUF 573.3 bln, up 36%, while operating profit climbed 18% to HUF 54.3 bln.

"The good results of the third quarter have been supported by the favorable external environment and the rebounding regional economic growth. At the same time we also leveraged our strengths, the resilient integrated business model and our highly cost-efficient asset base and operation," chairman-CEO Zsolt Hernádi said, commenting on the report.

"At the same time soaring commodity prices and the implications of the coronavirus pandemic pose a significant risk to the economy and generate a very volatile operational environment," he added.

In updated guidance, MOL put full-year EBITDA, adjusted for one-offs and at current cost of supply, "around or above USD 3.2 bln", up from USD 2.05 bln in 2020.

It sees organic CAPEX reaching about USD 1.7 bln, rising from USD 1.41 bln in 2020.

Farmgate Prices Fall 25.4% in February Crops

Farmgate Prices Fall 25.4% in February

Cabinet Approves Farmer Support Measures Government

Cabinet Approves Farmer Support Measures

Szeged Muni Council Clears Road to Service BYD Plant Automotive

Szeged Muni Council Clears Road to Service BYD Plant

Chresten Bruun Wins Expat CEO of the Year Award Awards

Chresten Bruun Wins Expat CEO of the Year Award


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.