Slovnaft made pre-tax profit of €1.1bn and will pay €625m in income tax

Crude oil refinery Slovnaft, owned by Hungary's Mol, posted a pre-tax profit of €1.1bn last year, triple its 2021 profit. The improvement comes on the back of a massive increase in the discount at which Russian crude oil was sold after the start of the war in Ukraine. The company will pay €625m in income tax, including the special tax on Russian oil (it would have paid €200m without the special tax). The firm's net profit rose from €253m in 2021 to last year's €415m. It thus has enough money for a €200m investment in technology to process non-Russian oil. Its revenues jumped by half to €6.1bn. This year, the Russian oil price discount is falling, and with it the refinery's profits. In addition, Russian oil now accounts for only 40% of Slovnaft's production. It compensates for the drop in profits by increasing fuel prices in Slovakia. Its labor costs rose by only 3% last year to €113m.

(hnonline.sk, dennikN.sk, DbP)