Gazprom’s profit got 19 times smaller in one year

gazprom_profit

Bad things have been happening with Russian gas company Gazprom recently: the profit of the the largest enterprise in the country got almost 19 times smaller in just 1 year.

This number was voiced by experts of Interfax, whose results were publishes by Russian media Lenta.Ru on August 3.

Experts have compared profits of Gazprom for the same period in years 2015 and 2016. It turned out that a year ago in the I quarter the gas monopoly earned 137 billion Russian rubles. The same period of 2016 brought only 7.2 billion, and this is without taking inflation into account. Thus, the drop of the income of Gazprom is 19 times in just one year.

Interestingly, back in early June experts of Renaissance Capital predicted major financial problems of Gazprom, and were convinced that the company risks getting negative financial results. In particular, the figure for the free cash flow was “negative $6.7 billion”. The dynamics of the gas monopoly profits was called the worst in the industry.

Also, and indirect indicator of the serious problems of Gazprom is the actions of the chairman of the Board of Directors of the company Viktor Zubkov. Back in April this year, he hastily sold all the shares he owned at the Moscow stock exchange. It looks like the top manager knows something about the near future of the company.

Source: by24.org

 

Image: Reuters