High oil prices, stronger refining margins push up Cepsa's Q1 earnings
Cepsa reported a net income at current cost of supply of 58 MM euros ($61.97 MM) in the fist quarter, up 9.4% rise from a year earlier, pushed by high crude prices and stronger refining margins.
Along with sharply higher crude prices, the value of refined products like gasoline and petrochemicals have been soaring globally, fueled by a strong post-pandemic recovery and most recently by the conflict in Ukraine.
Cepsa's refining margin expanded to $2.5 a barrel in the first quarter from $1.9 a barrel a year earlier, the company said, despite higher prices for natural gas, which is a primary feedstock for refineries,
Core earnings before interest, taxes, depreciation and amortization (EBITDA) at current cost of supply for the first quarter came in at 605 MM euros, an 86.7% increase compared with the same period last year.
(Reporting by Aida Pelaez-Fernandez; Editing by Nathan Allne and Louise Heavens)
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