Slovenian fuel retailer Petrol says quarterly net profit up 20% (updated)

Petrol dd Ljubljana

22/05/2020 08:25

(Updates with quote, forecast, details)
    LJUBLJANA, May 22 (Reuters) - Slovenia's largest fuel
retailer Petrol  PETG.LJ  on Friday posted a 20% jump in
first-quarter profit despite a drop in sales because of the
coronavirus crisis.
    Petrol reported group net profit of 21.8 million euros
($23.8 million), against 18.2 million euros in the same period
last year, even as sales dropped 15% to 916 million euros.
    The company gave no direct explanation on profit rise but
commenting on its figures it did say there had been "a positive
effect ... arising from the value of the derivatives used to
balance out petroleum-product price quotes." It also said the
coronavirus crisis impact kicked in only in March.
    However, Petrol expects to miss its 2020 forecast made in
December, according to which it expected a net profit of 109.8
million euros this year on sales of 6.4 billion.
    "The business plan for 2020 cannot be achieved due to the
pandemic and the resulting economic crisis," Petrol said. 
    It added sales of oil products could fall 14%-17% this year
after they fell by 18% to 742,900 tons in the first quarter.
    "Measures to curb the epidemic, taken by countries in which
Petrol operates, have caused a significant decline of economic
activity and restricted movement, which has a very negative
impact on the sales of Petrol group," it said.
    Petrol operates 509 filling stations in Slovenia, Croatia,
Bosnia, Serbia, Montenegro and Kosovo.
    Slovenia has so far reported 1,468 coronavirus cases and 106
deaths. It imposed a general lockdown in the middle of March and
has gradually started lifting it from April 20.
     
($1 = 0.9151 euros)

 (Reporting by Marja Novak; Editing by Edmund Blair and David
Evans)
 ((Marja.Novak@thomsonreuters.com; +386-1-5058805, Reuters
Messaging: marja.novak.thomsonreuters.com@reuters.net))