LUKoil: Q1 Results – Income Down, Sales Up, Lifting Costs Down

LUKOIL has published consolidated US GAAP financial statements for the first quarter of 2014.

The Company’s net income amounted to $1,733 million. EBITDA (earnings before interest, taxation, depreciation and amortization) reached $3,995 million in the first quarter of 2014. Sales revenues were $35,681 million (+5.7% y-o-y).

Net income for the first quarter of 2014 was negatively affected by a loss on the expected disposal of our share in Caspian Investment Resources Ltd. in the amount of $358 million as well as write-offs related to the exploration projects in Africa in the amount of $162 million.

Free cash flow in the first quarter of 2014 amounted to $179 million. Capital expenditures, including non-cash operations, decreased by 3.4% to $3,232 million.

Lifting costs per boe of production amounted to $5.23, down 9.0% from the fourth quarter of 2013.

In the first quarter of 2014, LUKOIL Group total hydrocarbon production available for sale increased by 0.8% y-o-y and reached 2,214 thousand boe per day. Crude oil and natural gas liquids production in the first quarter of 2014 increased 1.8% to 1,885 thousand barrels per day. Throughput at the Company’s own and affiliated refineries increased by 3.5% to 16.1 million tonnes. Throughput at the Company’s refineries in Russia increased 2.0%.

LUKoil: Q1 Results – Income Down, Sales Up, Lifting Costs down