OMV Petrom's operating profit slumps 57% on weaker prices, regulatory pressures (updated)

OMV Petrom SA

04/02/2025 07:04

(Adds context in paragraph 3, division details in paragraph 4,
forecast in paragraphs 5 and 6, details on Neptun Deep project
in paragraph 7)
       Feb 4 (Reuters) - Romanian oil and gas group OMV Petrom
 ROSNP.BX  reported a 57% slump in its fourth-quarter adjusted
operating profit on Tuesday, citing weaker commodity prices and
the impact of gas and power regulations. 
    The Bucharest-listed company posted an adjusted operating
profit of 955 million lei ($197.61 million), down from 2.24
billion lei a year earlier.
    The clean operating result, which is based on the current
cost of supply, excludes one-off items and short-term gains and
losses from energy inventory holdings.
    OMV Petrom, majority-owned by Austria's OMV  OMVV.VI ,
reported weaker performance across all segments for the quarter,
pressured by lower oil prices and sales volumes, reduced margins
from regulatory changes, and declining refining and sales
margins.
    A turnover tax introduced in 2024 is estimated to cost OMV
Petrom around 250 million lei in 2025, up from 216 million lei
last year. While a new 1% tax on construction value that took
effect in 2025 is seen to have an impact of middle double
figures in million of euros. 
    The company said it plans to invest about 8 billion lei this
year, assuming regulations and taxes remain stable, with the
majority directed towards the Neptun Deep project as well as
low- and zero-carbon projects. 
    Neptun Deep, a Black Sea offshore gas project, is expected
to start producing in 2027 and holds an estimated 100 billion
cubic meters of recoverable gas, making it one of the EU's most
significant natural gas deposits.

    ($1 = 4.8328 lei)

    

 (Reporting by Antonis Pothitos; Editing by Christian
Schmollinger and Sherry Jacob-Phillips)
 ((antonis.pothitos@thomsonreuters.com; +48 58 769 65 78;))