Unipetrol reported its consolidated Q1 2004 CAS results yesterday, which largely met our expectations on the EBITDA and EBIT level. Other financial costs, unexpectedly reaching more than CZK 200m, sent net profit significantly below our projections. Since the main subsidiaries reported their Q1 figures a week ago, the consolidated results have virtually no impact on the stock price.
The y-o-y comparison of the consolidated figures is to a large extent influenced by the new operating model of Ceska rafinerska (51% owned by Unipetrol), for which Unipetrol rafinerie (100% owned by Unipetrol) performs sales and marketing on behalf of Unipetrol from August 2003. Recall that despite positive developments in Spolana and Chemopetrol, we perceive the Q1 results of the main subsidiaries as marginally negative due to developments in the refining/retail segment.
Jan Hájek, Patria Finance