Main Unipetrol subsidiaries released their 9M results yesterday. Overall performance was strongly negative mostly due to Ceska rafinerska’s (51% owned by Unipetrol) results, Chemopetrol did not help as well.
Ceska rafinerska’s Q3 2001 gross profit reached CZK 569 mil (sales CZK 35.2 bil.), which is a reflection of dismal Q3 2001 performance. Negative margin development stock revaluation, and expenses related to new production lines activation, were the main reasons why the company significantly underperformed.
Chemopetrol disappointed as well with gross profit CZK 367 mil. (sales CZK 17.5 bil). High input prices, weak output prices and increase of other operating costs more than offset positive effect of high capacity utilization and overhead cost cutting.
Kaucuk was in line with our expectations (gross profit of CZK 169 mil, sales CZK 6 bil.), but the company was also affected by weakening margins.
Benzina slightly outperformed our expectations (gross profit of CZK 45 mil. sales CZK 10.7 bil.), the profitability reflects the positive impact of summer season.
Paramo exceeded our expectations, gross profit amounted to CZK 142 bil. (sale CZK 4.3 bil), company’s restructuring and cost cutting being the main reason for good performance.
We do not expect the full-year performance to divert significantly from the trend set in 9M results.
(Jiří Soutružník)