By Jaime Llinares Taboada
Gazprom Neft said Thursday that its third-quarter profit increased from the second quarter of the year as it benefited from higher oil prices and the partial lifting of coronavirus-induced restrictions.
The Russian energy company posted a net profit of 27.96 billion rubles ($368 million) for the three months ended Sept. 30, up from RUB22.04 billion in the second quarter. Chief Executive Alexander Dyukov said the performance was in line with internal expectations.
Gazprom revenue rose 35% on the quarter, to RUB536.74 billion, as realized hydrocarbon prices surged 77% to $11.52 per barrel of oil equivalent.
However, the financial performance remains well below 2019. The company made a RUB36.19 billion net profit for January-September, compared with RUB319.97 billion a year earlier.
"We continue to take a highly disciplined approach to cutting costs and are implementing a range of initiatives aimed at improving the company's operational efficiency amidst low oil prices and slower demand for oil and oil products," Mr. Dyukov said.
Shares at 1500 GMT were down RUB1.06, or 0.6%, at RUB183.94.
Write to Jaime Llinares Taboada at firstname.lastname@example.org; @JaimeLlinaresT
(END) Dow Jones Newswires
November 19, 2020 10:44 ET (15:44 GMT)Copyright (c) 2020 Dow Jones & Company, Inc.