Puma Energy announces Q3 2016 results

Puma Energy, the global integrated midstream and downstream energy company has recently released its Q3 2016 results. Commenting on these results, chief financial officer Denis Chazarain said: “I am pleased to report another period of growth for the business across all of our key parameters.
“Although we faced the headwinds of currency fluctuations and slowdown of some economies, we have increased our storage capacity to a record 7.9 million m3 following the latest acquisition of BP’s storage terminal in Northern Ireland.”
Key Financial Highlights 

In US$ millions
Continuing operationsQ3 ’16Q3 ’15YTD Sep ’16YTD Sep ’15
Sales volumes (m3)5,7255,00416,54313,921
Throughput volume (‘000 m3)5,1434,55515,29113,691
Gross profit3764001,1921,123
Earnings before interest, tax, depreciation and amortisation (EBITDA)165177556504
Cash flow from operating activities200155686606

Financial Highlights

  • Steady quarter marked by 14% growth in sales volumes powered by higher UK volumes and organic growth in Americas and Asia Pacific
  • Gross profit  and EBITDA impacted by slowdown of activity in some countries, affecting the B2B sub-segment, shift in geographical and segment mix and currency fluctuations
  • Strong increase in operating cash flows of 29%, supported by performance and good working capital discipline
  • Capex reduction, and investment focused on completion of ongoing projects

Operational Highlights

  • Increase in volumes in both midstream and downstream business segments as well as retail and aviation performing well
  • Investment for the quarter was characterised by organic spend on ongoing construction projects in Ghana, Angola and Vietnam
  • Puma Energy’s global network of bulk storage fuel terminals increase to 100 after it recently announced a purchase agreement with BP to buy its bulk storage fuel terminal in Belfast, Northern Ireland
  • The number of service stations increased to 2,468 from 2,419 in Q2 2016
  • Outlook remains positive; retail and aviation expected to perform well backed by consumption growth and marketing efforts, while B2B still impacted by headwinds in some countries

“We have increased our cash generation and maintained our capital discipline and I am pleased to show that our capex and acquisitions during the period were entirely funded from operating cash flow,” added Denis.
“Furthermore, we have reduced our net debt and leverage. Looking forward we will continue to execute on our proven strategy through investments in key markets, disciplined financing and focus on driving the Puma Energy brand in our core markets.”