Neste Oil Corporation
Stock Exchange Release
20 April 2012 at 2 p.m. (EET)
Neste Oil updates the way its comparable operating profit is calculated
Neste Oil has updated the method used to calculate its comparable operating profit to provide a better reflection of operational performance in its Oil Products business, by switching from a monthly average pricing method to a daily based pricing method when adjusting calculated inventory gains and losses. The update has been driven by the increasing volatility of the oil market in recent years, which has made the intra month timing of feedstock purchases more important. The update is also in line with development of the company's internal processes. The comparable operating profit calculation used by Renewable Fuels is already based on this methodology. The definition and calculation formula of comparable operating profit will remain unchanged from those presented in the Financial Statements of Neste Oil. This update does not have any impact on reported IFRS results. The reconciliation of the Group's segment results for 2011 is attached to this release.
The updated comparable operating profit calculation method will be applied in Neste Oil's first-quarter results for 2012, to be published on Thursday, 26 April 2012.
Neste Oil Corporation
Director, Corporate Communications
Further information: Ilkka Salonen, CFO, tel. +358 10 458 4490
Attachment: The reconciliation of the Group's segment results for 2011 (unaudited)
Neste Oil in brief
Neste Oil Corporation is a refining and marketing company concentrating on low-emission, high-quality traffic fuels. The company produces a comprehensive range of major petroleum products and is the world's leading supplier of renewable diesel. Neste Oil had net sales of EUR 15.4 billion in 2011 and employs around 5,000 people, and is listed on NASDAQ OMX Helsinki.
Neste Oil is included in the Dow Jones Sustainability World Index and the Ethibel Pioneer Investment Register, and has featured in The Global 100 list of the world's most sustainable corporations for a number of years. Forest Footprint Disclosure (FFD) has ranked Neste Oil as one of the best performers in the oil & gas sector. Further information: www.nesteoil.com