INA, D.D.
FY 2022
STATUS REPORT
Zagreb, March 2023
2022 REPORT
INA, D.D. NON-CONSOLIDATED
Content | |
Condensed non-consolidated Cash Flow Statement | 6 |
INA, d.d. Summary Segmental Results of Operations | 7 |
Financial overview and notes | 8 |
Special items | 9 |
Changes in equity | 10 |
Related party transactions | 10 |
Management representation | 12 |
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2022 REPORT
INA, D.D. NON-CONSOLIDATED
Management discussion and analysis
INA, d.d. financial results (IFRS)
HRK mln | 2021 | 2022 | % |
Net sales revenues* | 21,691 | 34,349 | 58 |
EBITDA (1) | 3,154 | 4,897 | 55 |
EBITDA excl. special items (2) | 3,247 | 4,897 | 51 |
Profit/(loss) from operations | 1,386 | 3,071 | 122 |
Profit/(loss) from operations excl. special items (2) | 1,479 | 3,249 | 120 |
Net (loss)/income from financial activities | 112 | (35) | n.a. |
Profit/(loss) for the period attributable to Owners of the Company | 1,246 | 1,837 | 47 |
Profit/(loss) for the period excl. special items (2) | 1,339 | 2,626 | 96 |
Net operating cash flow | 3,194 | 3,366 | 5 |
Earnings per share | |||
Basic and diluted earnings/(loss) per share (HRK per share) | 124.6 | 183.7 | 47 |
Net debt | 1,740 | 850 | (51) |
Net gearing (%) | 12.8 | 6.2 | |
CAPEX total | 1,557 | 2,672 | 72 |
USD mln (4) | 2021 | 2022 | % |
Net sales revenues* | 3,405 | 4,770 | 40 |
EBITDA (1) | 494 | 686 | 39 |
EBITDA excl. special items (2) | 509 | 686 | 35 |
Profit/(loss) from operations | 217 | 431 | 98 |
Profit/(loss) from operations excl. special items (2) | 232 | 455 | 97 |
Net (loss)/income from financial activities | 18 | (5) | n.a. |
Profit/(loss) for the period attributable to Owners of the Company | 196 | 262 | 33 |
Profit/(loss) for the period excl. special items (2) | 210 | 368 | 75 |
Net operating cash flow | 497 | 450 | (9) |
Earnings per share | |||
Basic and diluted earnings/(loss) per share (HRK per share) | 19.6 | 26.2 | 33 |
Net debt | 262 | 120 | (54) |
CAPEX total | 243 | 375 | 54 |
* Related to Revenue from contracts with customers
- EBITDA = EBIT + Depreciation, amortization and impairment (net)
- In 2021 result was negatively impacted by HRK (93) million of cost of provisions for Ivana D decommissioning, while in 2022 operating result was negatively impacted by impairment and reversal of impairment of asset in the amount of HRK (178) million and additionally net profit was impacted by extra profit tax in the amount of HRK (611) million
- In converting HRK figures into US Dollars, the following average CNB (HNB) rates were used: as at 31 December 2021 - 6.6435 HRK/USD; as at 31 December 2022 - 7.0640 HRK/USD; for Q1 2021 - 6.2739 HRK/USD; for Q1 2022 - 6.7147 HRK/USD; for Q2 2021 - 6.2464 HRK/USD; for Q2 2022 - 7.0649 HRK/USD; for Q3 2021 - 6.3528 HRK/USD; for Q3 2022 - 7.4560 HRK/USD; for Q4 2021 - 6.5673 HRK/USD; for Q4 2022 - 7.4034 HRK/USD
Financial and operational highlights
Year 2022 was marked by the high economic uncertainty and large changes on the commodity market caused by war in Ukraine, that impacted the entire economy. Oil and gas industry throughout the world recorded strong results in such times, but also faced a variety of regulatory pressures, ranging from regulated prices in various business areas to extra taxes imposed.
INA, d.d. EBITDA excl. special items in 2022 amounted to around HRK 4.9 billion with net profit of HRK 1.8 billion. Net profit was impacted by one-off items in the total amount of HRK 789 million. Refining and Marketing incl. Consumer services and Retail segment result was highly impacted by regulatory limitations which, combined with the intensive investment cycle in the Rijeka Refinery Upgrade Project, resulted in around one billion HRK negative cash flow of the segment. Exploration and Production returned to the position of the main cash generator, reflecting improved price environment. EBITDA of Exploration and Production amounted to HRK
4.9 billion, limited from Q4 2022 by the regulated gas prices at 41 EUR/MWh, which is to stay in force until Q1 2024. Natural decline of production is moderated through increased production optimization activities, amounting to -4% on yearly level. Offshore drilling campaign continued throughout the year with results already visible in 6% higher production volumes offshore. 2022 was additionally marked by various price and margin regulations impacting operational result of both segments, with newly imposed extra profit tax burdening cash generation.
Investment activities in 2022 were highest in the last ten years, with a 72% increase compared to 2021, total of HRK 2.7 billion, out of which 95% invested in Croatia. Rijeka Refinery Upgrade Project and the Offshore drilling campaign remain the biggest investments. Operating cash flow of the company remains stable on year level, despite the strong investment cycle and working capital needs consumes the improved results from operations.
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2022 REPORT
INA, D.D. NON-CONSOLIDATED
Condensed non-consolidated Statement of Profit or Loss
For the period ended 31 December 2021 and 2022 (in HRK millions)
2021 | 2022 | % | |||
Revenue from contracts with customers | 21,691 | 34,349 | 58 | ||
Other operating income | 261 | 336 | 29 | ||
Total operating income | 21,952 | 34,685 | 58 | ||
Changes in inventories of finished products and work in progress | 166 | 390 | 135 | ||
Costs of raw materials and consumables | (8,952) | (13,969) | 56 | ||
Depreciation, amortisation and impairment (net) | (1,768) | (1,826) | 3 | ||
Other material costs | (2,101) | (2,396) | 14 | ||
Service costs | (767) | (827) | 8 | ||
Staff costs | (825) | (831) | 1 | ||
Costs of other goods sold | (6,005) | (11,694) | 95 | ||
Impairment charges (net) | (36) | (99) | 175 | ||
Provision for charges and risks (net) | (320) | (419) | 31 | ||
Capitalised value of own performance | 42 | 57 | 36 | ||
Operating expenses | (20,566) | (31,614) | 54 | ||
Profit/(Loss) from operations | 1,386 | 3,071 | 122 | ||
Finance income | 354 | 319 | (10) | ||
Finance costs | (242) | (354) | 46 | ||
Net gain/(loss) from financial activities | 112 | (35) | n.a. | ||
Share of net profit/(loss) of joint ventures accounted for using | (9) | (38) | 322 | ||
the equity method | |||||
Profit/(Loss) before tax | 1,489 | 2,998 | 101 | ||
Income tax gain/(expense) | (243) | (1,161) | 378 | ||
Profit/(Loss) for the period | 1,246 | 1,837 | 47 | ||
Earnings per share | |||||
Basic and diluted earnings/(loss) per share (HRK per share) | 124.6 | 183.7 | 47 |
Note: Restatement of comparable previous periods was made - see on page 9
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2022 REPORT
INA, D.D. NON-CONSOLIDATED
Condensed non-consolidated Statement of Financial Position
At 31 December 2021 and 2022 (in HRK millions)
31 December 2021 | 31 December 2022 | % | |
Assets | |||
Non-current assets | |||
Intangible assets | 412 | 463 | 12 |
Property, plant and equipment | 9,998 | 10,808 | 8 |
Investment property | 76 | 73 | (4) |
Right-of-use assets | 438 | 388 | (11) |
Investment in subsidiaries | 1,826 | 1,828 | 0 |
Investments in associates and joint venture | 245 | 18 | (93) |
Other investments | 7 | 5 | (29) |
Deferred tax assets | 797 | 831 | 4 |
Long-term marketable securities | 43 | 17 | (60) |
Other non-current financial assets | 1,176 | 1,436 | 22 |
Non-current financial assets | 756 | 833 | 10 |
Other non-current assets | 297 | 202 | (32) |
Total non-current assets | 16,071 | 16,902 | 5 |
Current assets | |||
Inventories | 1,913 | 2,692 | 41 |
Intercompany receivables | 229 | 301 | 31 |
Trade receivables, net | 1,749 | 2,437 | 39 |
Other current financial assets | 1,364 | 54 | (96) |
Other current assets | 186 | 129 | (31) |
Derivative financial instruments | 11 | 38 | 245 |
Marketable securities | 17 | 122 | 618 |
Cash and cash equivalents | 1,295 | 1,640 | 27 |
Current assets | 6,764 | 7,413 | 10 |
Assets held for sale | - | 334 | n.a. |
Total current assets | 6,764 | 7,747 | 15 |
Total assets | 22,835 | 24,649 | 8 |
Equity and liabilities | |||
Capital and reserves | |||
Share capital | 9,000 | 9,000 | (0) |
Legal reserves | 199 | 250 | 26 |
Fair value reserves | 363 | 437 | 20 |
Other reserves | 1,211 | 1,218 | 1 |
(Accumulated losses)/Retained earnings | 1,053 | 1,858 | 76 |
Total equity | 11,826 | 12,763 | 8 |
Non-current liabilities | |||
Long-term debts | 2,112 | 2,128 | 1 |
Long-term lease liabilities | 344 | 301 | (13) |
Other non-current liabilities | 28 | 24 | (14) |
Employee benefits obligation | 21 | 13 | (38) |
Provisions | 3,841 | 3,665 | (5) |
Total non-current liabilities | 6,346 | 6,131 | (3) |
Current liabilities | |||
Bank loans and current portion of long-term debts | 940 | 484 | (48) |
Current portion of long-term lease liabilities | 101 | 95 | (6) |
Intercompany payables | 281 | 243 | (14) |
Other current financial liabilities | 1 | 1 | - |
Trade payables | 1,857 | 2,188 | 18 |
Taxes and contributions | 809 | 671 | (17) |
Income tax payables | - | 1,201 | n.a. |
Other current liabilities | 366 | 328 | (10) |
Derivative financial instruments | 64 | 21 | (67) |
Employee benefits obligation | 1 | 3 | 200 |
Provisions | 243 | 479 | 97 |
Current liabilities | 4,663 | 5,714 | 23 |
Liabilities directly associated with assets classified held for sale | - | 41 | n.a. |
Total current liabilities | 4,663 | 5,755 | 23 |
Total liabilities | 11,009 | 11,886 | 8 |
Total equity and liabilities | 22,835 | 24,649 | 8 |
Note: Restatement of comparable previous periods was made - see on page 9
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INA dd published this content on 05 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 August 2023 00:12:50 UTC.