Puma Energy seen its gross profits fall 8% to $756m for the first half of 2018 despite a 24% rise in revenues to $8.6bn.
The company’s profits were impacted by the full period effect of trends experienced in the first quarter, including foreign currency depreciation, a fuel price freeze in Angola, and local market conditions in Australia.
Sales volumes increased 11% to 12.1 million cbm compared to the same period in 2017 across all regions with good performance in the retail, wholesale and bitumen segments. Meanwhile, EBITDA decreased to $288m, down from $375m in the first half of 2017.
Commenting on the results, Denis Chazarain, CFO, said: “The headwinds we anticipated earlier in the year impacted the second quarter of 2018 as expected, resulting in a lower year on year profit. Despite challenging external political factors and foreign currency effects, our sales volumes continued to rise across our operating regions, which, combined with the higher oil price contributed to the 24% rise in revenues to $8.6bn for the period versus last year.
“Additionally, operating cash flows increased during the first half of 2018, compared to the previous year, reflecting strong cash conversion and effective working capital management. Management will continue to maintain stringent investment and working capital discipline during the second half of 2018.”
During the second quarter of 2018, 10 new retail sites have been added to the Puma Energy network, which now counts 3,105 retail sites. It has also finalised the construction of a terminal in Panama.
For more information, visit: www.pumaenergy.com
3rd Septmber 2018