According to information provided this week by the ORLEN Group, its net profit for the first six months of this year amounted to PLN 2 billion 761 million and was lower by PLN 12 billion 729 million than in the same period of the previous year. However, the company’s management emphasizes that it is worth taking a closer look at it. Magdalena Bartoś draws attention to the regulatory burdens that ORLEN bore in the second quarter. – Over PLN 7 billion of burdens in our extraction segment are related to gas price subsidies for sensitive customers and households – says the vice-president of the ORLEN management board for finance, drawing attention to the much lower compensations than in the previous year. EBITDA LIFO (operating profit increased by depreciation, taking into account inventory valuation), excluding the effect of regulations, amounted to PLN 11.3 billion, which is 8 percent more than in the same period of the previous year.
Magdalena Bartoś also draws attention to, among other things, a 12% drop in gas prices and a 25% drop in energy prices year-on-year. “We have an intensive quarter behind us, in which our business segments recorded very good operating results,” she notes. According to the company’s announcement, in the second quarter of 2024, the refinery segment generated an EBITDA LIFO profit of nearly PLN 2.6 billion. The gas segment recorded an EBITDA profit of PLN 4.1 billion, and the energy segment – approximately PLN 2 billion. In turn, the retail segment’s EBITDA amounted to PLN 893 million.
The result of the mining segment was minus PLN 3.9 billion, with the write-off to the Price Difference Payment Fund for the second quarter amounting to PLN 7.7 billion. Segmentpetrochemicals achieved an EBITDA LIFO result of minus PLN 180 million in conditions of, among others, pressure on margins of petrochemical products.
– In the context of the difficult macroeconomic and regulatory environment, we believe that our result is very satisfactory – sums up Magdalena Bartoś.
In the first half of this year, the ORLEN Group allocated PLN 14 billion for investments supporting the energy transformation and increasing Poland’s energy security. Decarbonization is among the important goals.
As Karol Wolff, Director of the ORLEN Strategy and Strategic Transformation Office, says, the Orlen Group is implementing decarbonization goals related to the refining, petrochemical and energy segments.
– When it comes to refineries, we are preparing climate neutrality plans, for example for the production plant in Płock. They will be created this year. In the energy sector, we have submitted a neutrality plan for heating assets – says Karol Wolff. As he emphasizes, heating assets are important for the ORLEN Group in this context due to the large use of coal, from which it intends to move away.
JPO
