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20 Mar 2020
Annual Briefing to Analysts
Back
20 Mar 2020
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Annual Briefing to Analysts

MOTOR OIL (HELLAS) CORINTH REFINERIES S.A. proceeded with the annual briefing to analysts over the teleconference regarding the 2019 Full Year Financial Results of the Group.

The key points of the presentation are presented hereunder:

  • The Company product sales reached 14.2 MT million in 2019 (14.4 MT million in 2018) well above the nominal capacity of its Refinery
  • Exports and Aviation – Bunkering sales accounted for 82.17% of total sales volume in 2019 (82.51% in 2018) and Refining sales accounted for 85.75% of total sales volume (90.87% in 2018)
  •  The Company completed a scheduled turnaround in the period September – October 2019 of the FCC unit, as well as ad hoc maintenance in other conversion units as deemed necessary during the year
  • The second half of fiscal 2019 financial results of the Company were impacted because of the tight refining margin environment and the programmed turnaround works, while part of the impact was offset due to the lower corporate tax rate of 24% applicable on the taxable profit of the whole year
  • In 2019 the Group laid the foundations for the diversification of its revenues through its entrance in the Renewable Energy Sources sector (construction project  of 3 wind parks of total capacity 9.4 MW) a move coupled with the acquisition of a portfolio of Photovoltaic Plants on full operation of total capacity 47 MW early in 2020
  • The impact on the financial results of the Company from the world economy slowdown due to the measures taken to tackle the spread of the COVID-19 cannot be quantified at present time. Crude prices will undoubtedly have an impact on inventory valuation this, nevertheless, being an one-off considering the current low prices of Refinery feedstock. The Company is geared to deliver refining margins above the benchmark. No real estimate for the development of refining margins can be made. The Company has availability of credit lines to support the uninterrupted continuation of its operations
  • Early in Q1 2020 the Company performed scheduled maintenance works of the Mild Hydrocracker Unit a feat which could not be possible currently due to measures taken aiming to protect the health of the workforce.

PARENT COMPANY FINANCIAL FIGURES FOR THE FISCAL YEAR 2019

The parent company Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) reached Euro 359.6 million for 2019 compared to Euro 411.1 million in 2018.

The parent company Earnings before Taxes amounted to Euro 268.7 million for the fiscal year 2019 compared to Earnings of Euro 317 million for the fiscal year 2018.

The parent company Earnings after Tax amounted to Euro 205.5 million for the fiscal year 2019 compared to Earnings of Euro 228.1 million for the fiscal year 2018.

CONSOLIDATED KEY FINANCIAL FIGURES FOR THE FISCAL YEAR 2019

The consolidated Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) reached Euro 474 million for the fiscal year 2019 compared to Euro 495.1 million for the fiscal year 2018.

The consolidated Earnings before Tax reached Euro 303.4 million for the fiscal year 2019 compared to Earnings of Euro 355.4 million for the fiscal year 2018.

The consolidated Earnings after Tax came in at Euro 224.2 million for the fiscal year 2019 compared to Earnings of Euro 254.7 million for the fiscal year 2018.

DIVIDEND

The management of the Company will propose at the upcoming Annual Ordinary General Assembly of Company shareholders the distribution of an amount totaling Euro 127.4 million (or Euro 1.15/share) as a dividend for the fiscal year 2019 denoting a payout ratio of 62% compared to 63% the previous year. The DPS amount corresponds to a yield in excess of 10% based on the current market price of the Company shares.

Maroussi, 20 March 2020

The Board of Directors