Omv Petrom Sa · BVB:SNP
Omv Petrom Sa — Q1 2022 Earnings Presentation
15 slides from Omv Petrom Sa's earnings presentation, Apr 29, 2022
Slide 1: OMV Petrom Q1/22 Results
OMV Petrom Q1/22 Results Christina Verchere, CEO April 29, 2022 OMV Petrom S.A.
Slide 2: Legal disclaimer
Legal disclaimer This presentation does not, and is not intended to, constitute or form part of, and None of the future projections, expectations, estimates or prospects in this should not be construed as, constituting or forming part of, any actual offer to sell presentation, including (without bei
Slide 3: Very high and volatile commodity prices
Very high and volatile commodity prices Oil prices FX OMV Petrom indicator refining margin USD/bbl RON/USD, RON/EUR USD/bbl 4.9 4.9 4.9 4.9 4.9 18.3 4.2 4.3 4.4 4.0 4.1 102 80 78 90 7.2 7.5 69 67 74 71 61 60 4.3 2.8 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Avg USD/RON Avg EUR/RON
Slide 4: Challenging Romanian environment
Challenging Romanian environment Geopolitical and regulatory context Romanian macro environment War in Ukraine GDP growth GDP: 20212: 5.6% yoy; 2022e3: +2.2% yoy ► Romania’s security of supply: relatively low dependency on energy decelerating imports ► OMV Petrom: supporting humanitarian effort
Slide 5: Key messages Q1/22
Key messages Q1/22 Strong financial performance Clean CCS Operating result Operating Cash Flow Clean CCS ROACE RON 2.2 bn RON 2.6 bn 17.8% +243% yoy +129% yoy vs. 5.7% in Q1/21 Prepared to cope with challenges Strategic focus Neptun Deep: draft Offshore Law published Integrated business model ex
Slide 6: Operational performance reflects mixed market demand
Operational performance reflects mixed market demand Exploration and Production Refining and Marketing Gas and Power Hydrocarbon production Refinery utilization rate Gas sales volumes kboe/d % TWh -13% +3% +3% 139 -11% 134 14.4 123 122 121 100 101 98 12.3 12.7 67 95 11.2 11.1 65 61 60 58 91 72 69 62
Slide 7: CAPEX ramping up
CAPEX ramping up Group organic CAPEX1 RON bn Q1/22 2022E +40% Organic RON 0.6 bn: RON ~4.0 bn: ~4.0 CAPEX 10 new wells and sidetracks; 150 Wells and sidetracks: ~60; ~600 -7% workovers workovers 3.0 Preliminary works for coke drums Coke drums replacement 2.8 replacement in Petrobrazi O
Slide 8: OMV Petrom Q1/22 Results
OMV Petrom Q1/22 Results Alina Popa, CFO April 29, 2022 OMV Petrom S.A.
Slide 9: Income Statement: strong results reflect unprecedentedly high commodity prices and good operational performance
Income Statement: strong results reflect unprecedentedly high commodity prices and good operational performance Clean CCS Operating Result RON bn +243% Q1/22 Clean CCS Operating Result reflects: 2.2 ► Significantly higher commodity prices and refining margins 1.5 ► Higher sales volumes for fuels a
Slide 10: Clean CCS Operating Results improved throughout all business segments
Clean CCS Operating Results improved throughout all business segments E&P RON mn -213 1,106 -18 49 Realized crude price +58% 976 Higher gas price, partially offset by royalties and gas overtaxation Positive FX effect on revenues 311 Hydrocarbon sales -11% Higher production costs Q1/21 Mark
Slide 11: Strong cash flow generation
Strong cash flow generation Cash Flow from Operating Activities RON bn +129% 2.6 Q1/22 Cash Flow from Operating Activities: 2.0 ► Increase driven by Operating Result 1.2 3.3 2.0 ► Negative NWC, higher yoy 1.6 -0.4 0.0 -0.6 Q1/21 Q4/21 Q1/22 Sources of funds Net Working Capital Free Cash Flow1 RON
Slide 12: Outlook
Outlook Indicators Actual 2021 Assumptions/ Targets 2022 Brent oil price USD 70.9/bbl USD 95/bbl (prev. USD 75/bbl) Production in 127 kboe/d1 Decline ~7% yoy1 Romania Refining USD 5.5/bbl Significantly higher yoy margin (prev. USD ~6/bbl) CAPEX RON 2.8 bn RON ~4.0 bn2 FCF before RON 4.7 bn Positive
Slide 13: Q&A
OMV Petrom S.A. @ OMV Petrom The energy for a better life.
Slide 14: Back-up
OMV Petrom S.A. @ OMV Petrom The energy for a better life.
Slide 15: Sensitivities in 2022
Sensitivities in 2022 2022 sensitivities EBIT impact Brent oil price USD +1/bbl ~EUR +15 mn Equity gas price EUR +1/MWh ~EUR +10 mn OMV Petrom indicator USD +1/bbl ~EUR +25 mn refining margin Exchange rates USD appreciation ~EUR +50 mn EUR/USD by 5 USD cents 1 This sensitivity is valid for gas price