OAO "Gazprom Neft" has published its Q2 2008 and 1H 2008 US GAAP consolidated financial statements

According to the released financial results under US GAAP, net income reached $2 196 mln. in 2 Q 2008, which exceeds the Q2 2007 result by 84,5% ($ 1 190 mln.)

Earnings before interest, income tax, depreciation and amortization (EBITDA) in Q2 2008 amounted to $3 093 mln. and increased by 70,6% comparing with Q2 2007 EBITDA ($1 813 mln.)

Revenues in Q2 2008 rose by 92,3% to $9 811 mln. vs. $5 102 mln. in Q2 2007.

Net income in 1H 2008 was $3 607 mln., which exceeds the 1H 2007 result by 93,7% ($ 1 862 mln.)

EBITDA in 1H 2008 increased by 74,6% compared with 1H 2007 result and reached the level of $ 5 119 mln.

Revenues in 1H 2008 amounted to $17 677 mln., what is 91,2% higher that in the same period of 2007.

The improvement of financial results in Q2 2008 and 1H 2008 was due to an increase in oil and oil products market prices; high refining margins; an increase in oil and oil products distribution volumes both domestically and for export.

The company's financial results were affected by efficient oil flows reallocation, based on market conditions, and the increase in production of high margin refining products.

Q2 2008 and IH 2008 key financial results:

(mln. $)II Q 2008II Q 2007change, %I H 2008I H 2007change, %
Revenues9 8115 10292,3%17 6779 24391,2%
EBITDA*3 0931 81370,6%5 1192 93274,6%
Net Income2 1961 19084,5%3 6071 86293,7%

*EBITDA determines as earnings before interest, income taxes, depreciation and amortization, minority interest, foreign exchange gain (loss), other income and expenses