Omv Ag · VIE:OMV

Omv — OMV Aktiengesellschaft — Q2 2011 Earnings Presentation

20 slides from Omv's earnings presentation, Aug 10, 2011

  1. Slide 1: Results Q2/11

    OMV Aktiengesellschaft Results Q2/11 David C. Davies, Deputy Chairman of the Executive Board and CFO August 10, 2011 Move & More.

  2. Slide 2: Q2/11: Political turmoil in North Africa and Middle East adversely impacts results

    Q2/11: Political turmoil in North Africa and Middle East adversely impacts results  Effect of lower production and declining refining margins could not be compensated by oil price increase and stronger petrochemical margins  Average oil price in Q2/11 USD 117.04/bbl, 50% above Q2/10 (USD 78.24/bbl

  3. Slide 3: Results for Q2/11

    Results for Q2/11   Q1/11 Q2/11 Q2/10 in EUR mn 6m/11 6m/10 Q2/10 6m/10 807 567 647 (12)% EBIT 1,374 1,357 1% (108) (53) (2) n.m. Financial result (161) (15) n.m. (225) (136) (220) (38)% Taxes (362) (462) (22)% 32% 26% 34% (22)% Effective tax rate 30% 34% (13)% 473 378 424 (11)% Net income 851 881

  4. Slide 4: Cash flow

    Cash flow   Q1/11 Q2/11 Q2/10 in EUR mn 6m/11 6m/10 Q2/10 6m/10 473 378 424 (11)% Net income 851 881 (3)% 366 450 387 16% Depreciation and amortisation 816 674 21% 133 (278) (231) 20% Other (146) (244) (40)% 972 550 580 (5)% Sources of funds 1,522 1,311 16% (80) (165) 185 n.m. Change in net workin

  5. Slide 5: Gearing ratio development

    Gearing ratio development 50 47 46 40 34 29 30 30 in % 20 Gearing ratio (net debt / equity) Gearing ratio target ≤ 30% 10 0 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11  Maintaining a strong investment grade credit rating remains key priority  Sharp decrease in Q2/11 due to refinancing measures  Hybrid bond iss

  6. Slide 6: CAPEX and EBITD

    CAPEX and EBITD CAPEX EBITD Q2/11: EUR 483 mn Q2/11: EUR 1,017 mn 6m/11: EUR 1,522 mn 6m/11: EUR 2,190 mn 1.800 1,800 1,604 1,600 1.600 Capex 6m/11 EBITD 6m/11 1.400 1,400 1,200 1.200 1,099 1,000 1.000 800 600 493 400 216 191 200 116 16 0 (4) (20) (200) -200 E&P R&M G&P Co&O Consolidation 6 | OMV Gr

  7. Slide 7: Special items

    Special items Q1/11 Q2/11 Q2/10 in EUR mn 6m/11 6m/10 807 567 647 Reported EBIT 1,374 1,357 (2) (9) (3) Personnel related costs (10) (6) 0 (21) (61) Unscheduled depreciation (21) (61) 2 6 1 Asset disposals 8 20 (20) 4 3 Other (16) 4 (20) (20) (59) Total special items (39) (43) 827 587 706 Clean EBIT

  8. Slide 8: Clean CCS EBIT Q2/11

    Clean CCS EBIT Q2/11 OMV Group clean CCS EBIT Q2/11: EUR 468 mn (Q2/10: EUR 623 mn) 800 Q2/10 Q2/11 623 600 560 468 439 400 200 120 11 19 26 2 0 (24) (10) (50) (200) E&P R&M G&P Co&O Consolidation Total thereof Petrom group clean CCS EBIT: E&P R&M G&P Co&O Consolidation Total Q2/10 Q2/11 Q2/10 Q2/11

  9. Slide 9: Economic environment

    Economic environment 50% 800 726 40% 623 632 30% 20% 567 600 10% 468 0% EUR mn 400 (10)% (20)% (30)% 200 (40)% (50)% (60)% 0 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11 Clean CCS EBIT in EUR mn (right hand scale) Regulated domestic gas price for producers (USD) development Average Brent price development OMV indi

  10. Slide 10: Exchange rate development

    Exchange rate development Q2/11 Q2/10  Average EUR-USD FX rate 1.439 1.271 13% Average USD-TRY FX rate 1.569 1.541 2% OMV Group has two significant FX exposures:  EUR-USD: Oil price is denominated in USD. A stronger USD is therefore favourable for the results.  USD-TRY: As of June 30, 2011, Petro

  11. Slide 11: Group E&P: Lower production in Libya and Yemen could not be compensated by a favourable oil price

    Group E&P: Lower production in Libya and Yemen could not be compensated by a favourable oil price in Q2/11  Production down by 13% vs. Q2/10 mainly due to political instability in Libya and Yemen  Q2/11 EBIT below Q2/10 despite favourable oil price environment  Significantly higher exploration ex

  12. Slide 12: Petrom E&P: Q2/11 results supported by higher oil price

    Petrom E&P: Q2/11 results supported by higher oil price  Higher oil price supports Q2/11 result, partly counterbalanced by FX effect  Negative hedging result of EUR (32) mn  Production volumes up by 3% vs. Q2/10 level  OPEX/boe at Petrom below Q2/10 supported by slightly higher volumes and stric

  13. Slide 13: Group R&M: Challenging margin environment and planned petrochemicals turnaround in Schwechat

    Group R&M: Challenging margin environment and planned petrochemicals turnaround in Schwechat  OMV indicator refining margin burdened by oil price increase due to high cost for own crude consumption  Higher petrochemical margins could not compensate the impact of the planned maintenance turnaround

  14. Slide 14: Petrom R&M: Low refining margin could not be compensated by improved refining performance

    Petrom R&M: Low refining margin could not be compensated by improved refining performance  Lower refining margins due to higher crude prices  The increased crude price led to positive CCS effects (inventory holding gains)  Improved cost performance in refining supported by the closure of Arpechim

  15. Slide 15: Petrol Ofisi R&M: Challenging downstream market

    Petrol Ofisi R&M: Challenging downstream market  Due to high product prices, refiners pricing was closer to import price level, thereby reducing Petrol Ofisi’s import advantage  Additional pressure on retail margins as a consequence of new contract terms triggered by an enforced shortening of the

  16. Slide 16: Group G&P: Strong logistics business but margins in supply, marketing and trading under pressure

    Group G&P: Strong logistics business but margins in supply, marketing and trading under pressure  Gas sales volumes at EconGas increased significantly compared to Q2/10, mainly driven by higher short-term deals  Strong pressure on EconGas’ margins due to spot prices being significantly below long-

  17. Slide 17: Petrom G&P: Result improvement compared to Q2/10 despite import obligation for internal consumption

    Petrom G&P: Result improvement compared to Q2/10 despite import obligation for internal consumption  Gas sales volumes at Petrom increased by 19% compared to Q2/10 supported by improved economic environment  Negative EBIT effect of import obligation for internal consumption was more than offset by

  18. Slide 18: Outlook 2011: Main market drivers remain highly volatile

    Outlook 2011: Main market drivers remain highly volatile  In E&P, the production level is expected to decrease due to the political instability in North Africa and Middle East  In R&M, the marketing margin environment will remain challenging while refining margins are expected to recover somewhat

  19. Slide 19: Disclaimer

    Disclaimer This document does not constitute an offer or invitation, or solicitation of an offer, to subscribe for or purchase any securities and neither this document nor anything contained herein shall form the basis of any contract or commitment whatsoever. This document is being furnished to you

  20. Slide 20: 20 | OMV Group, Q2/11

    20 | OMV Group, Q2/11

OMV Aktiengesellschaft — Q2 2011 Earnings Presentation on 6ix