Tüpraş has announced its financial results for the third quarter of 2019. Tüpraş has successfully fulfilled its responsibility in meeting the fuel requirement of Turkey in the first nine months of 2019 by sustaining its activities with an operational efficiency focus.
Despite the planned maintenance and improvement shutdown of the Fuel Oil Conversion Facility in Tüpraş İzmit Refinery between 26 February 2019 and 13 May 2019, Tüpraş has increased its production in the first nine months by 11% with respect to last year. The total production in the first nine months realized as 21.2 million tons. The total production in the third quarter was 7.5 million tons.
In the third quarter of the year, Tüpraş’ domestic sales amount realized as 6.4 million tons, whereas total sales amount reached 7.8 million tons. The total sales amount realized as 22.2 million tons in the first nine months.
Sales revenue amounted 68 billion TL with a growth of 7% in 9M.
Sales revenues in the third quarter of 2019 realized as 23 billion TL with a 23% decline compared to last year on the back of 18% decrease in average crude oil price for the same period whereas total sales revenues in the first nine months of the year realized as 68 billion TL with a 7% growth.
The refinery margin in the third quarter was adversely affected by the increasing costs due to negative impact on demand from uncertainties and expectations of slowdown in global economy and decreased heavy crude oil supply on the back of geopolitical developments. The negative effect of regulatory change regarding domestic crude oil prices in addition to the price increase of the heavy crude oil processed by Tüpraş were among the factors that led to weak refining margins.
Furthermore, increased operational costs due to higher natural gas tariff and financial expenses compared to last year have led to 155 million TL net loss in the third quarter of 2019.
Tüpraş ready for International Maritime Organization (IMO) regulation change
Tüpraş has successfully finalized the maintenance activities undertaken to prepare for the International Maritime Organization (IMO) regulation change in the first 9 months of the year. Tüpraş has become fully ready by completing the maintenance of its most complex units before IMO 2020 regulation change, which will initiate as of January the 1st, 2020.
179 million dollars worth of total investment in refining and logistics
Tüpraş, which has invested a total of $179 million for refining and logistics in the first nine months of the year, will continue to realize its operational and financial objectives and create added value for its shareholders, business partners and our country with its increasing global competitive power.
|Operational and Financial Results|
|Q3 2019||Q3 2018||Diff (%)||9M 2019||9M 2018||Diff (%)|
|Operational (Thousand Tons)||Total Production||7,537||7,690||-2%||21,195||19,081||11%|
|Profit Before Tax||-146||678||127||2.075|