NESTE OIL REPORTS A COMPARABLE OPERATING PROFIT OF EUR 202 MILLION FOR Q3
Neste Oil succeeded in boosting its refining margin in the third quarter compared to the same period in 2005, despite the rapid fall in gasoline margins late August and September. The company's comparable operating profit was clearly higher compared to the same quarter in 2005, when the maintenance shutdown at the Porvoo refinery cut volumes significantly.
Third quarter in brief:
Comparable operating profit of EUR 202 million (Q3/05: 121 million)
Operating profit of EUR 254 million (Q3/05: 137 million)
Earnings per share of EUR 0.72 (Q3/05: 0.41)
Cash flow from operations of EUR 248 million (Q3/05: -43 million)
A strengthened strategic focus on biodiesel and further investments in conversion capacity
A scheduled maintenance shutdown at the Naantali refinery
President & CEO Risto Rinne:
"The oil market had been prepared for an active hurricane season, and when it didn't materialize, additional downward pressure was put on oil prices, particularly on gasoline margins. However, the third quarter was another strong quarter for us, and we recorded good profits, thanks in particular to strong diesel market."
"In September, we announced a continuation of our clean fuel strategy, and we will focus on growth by investing in both oil refining and advanced biodiesel production. Our aim is to become the world's leading biodiesel producer, based on our state-of-the-art technology and first-mover advantage. I'm confident that we'll be able to reap the benefits of the growing biodiesel market and grow our shareholder value."
Further information:
Risto Rinne, President & CEO, tel. +358 10 458 4990
Petri Pentti, CFO, tel. +358 10 458 4490
News conference and conference call
A press conference in Finnish on the third-quarter results will be held today, 24 October 2006, at 11:30 am EET in the Mirror Room at Hotel Kämp, Pohjoisesplanadi 29, Helsinki. www.nesteoil.com will feature English versions of the presentation materials.
A conference call in English for investors and analysts will be held today, 24 October 2006, at 3:00 pm Finland / 1:00 pm London / 8:00 am New York. The call-in numbers are as follows: UK: +44 (0) 20 7162 0025, US: +1 334 323 6201. Use the password: Neste Oil. An instant replay will be available until 31 October 2006 at +44 (0) 20 7031 4064 for the UK and +1 954 334 0342 for the US, using access code 721023.