Supervisory Board Discussed Report on Petrol Group's and Petrol d.d., Ljubljana's Results for the First Three Months of 2018

Ljubljana, 17th May 2018 - The Report on the Petrol Groups and Petrol d.d., Ljubljanas Results for the first three months of 2018 was presented to the Supervisory Board of Petrol d.d., Ljubljana at its 13th meeting held today.

In the first three months of 2018, the Petrol Group generated the adjusted gross profit of EUR 102.2 million, a 10 % increase on the same period of 2017. EBITDA totalled EUR 37.7 million, a 15 % increase compared to the same period of 2017. 52 % of the Petrol Groups EBITDA derived from its sales of oil products. Energy and environmental systems accounted for 21 % of the Groups EBITDA, sales of merchandise for 17 %, sales of liquefied petroleum gas for 8 %, and other energy sales and trading for 2 % of its EBITDA. The Petrol Groups net profit amounted to EUR 17.9 million, up 11 % from the same period of 2017.

In the first three months of 2018, the Petrol Group sold 729.0 thousand tonnes of oil products, which is 4 % less than in the first three months of 2017, mainly due to lower sales of extra light heating oil substituted by other energy products for heating. The Petrol Group sold 7,354.7 thousand MWh of natural gas, which is significantly more compared to the same period of the previous year, due to the full consolidation of Geoplin d.o.o. The Petrol Group sold 38.3 thousand tonnes of liquefied petroleum gas, up 4 % from the same period of 2017. Revenues from sales of merchandise in the first three months of 2018 amounted to EUR 151.9 million, up 12 % from the figure achieved in the same period of 2017. At the end of March 2018, the Petrol Group operated 494 service stations, of which 317 in Slovenia, 105 in Croatia, 38 in Bosnia and Herzegovina, 12 in Serbia, 11 in Montenegro and 11 in Kosovo.

A comprehensive renewal of Petrols business information system, necessary to maintain the future competitiveness of the company, is currently in progress. Through the introduction of a new technical information system, Petrol will enable to cities, rural areas and industry quick transition to digitisation and smart city based operation. The Smart Home project, designed to carter for the needs of users in their domestic environment, is the first stage in the development of digital solutions, available already in 2018. Payment mechanisms and loyalty systems will be integrated in all services provided by Petrol a digital payment system was introduced in December 2017 through the mBills Petrol financial service. Sales outlets are being upgraded by installing applications that open new possibilities for customers: Moj Petrol, Na poti and OneChange are digitally supported solutions that enable checking, ordering and paying with a mobile device. In addition to this, Petrol is very active in e-mobility, introducing the use of new technologies to transport.

The Petrol Group will continue with its active sales policy, optimisation of all business processes and efficient risk management. The achieved results show that the Group is successful in pursuing its goals.

Attachments