Net income reaches R$21.928 billion in 1H11
We announce today our consolidated results for the second quarter (2Q11) and first half of 2011 (1H11), presented in accordance with international financial reporting standards (IFRS).
The company posted 2Q11 net income of R$10.94 billion (R$0.84 per share), 32% up on the R$8.29 billion recorded in 2Q10 (R$0.95 per share), while income before financial results, participations and taxes totaled R$12.05 billion, versus R$12.3 billion in 2Q10.
First-half net income came to R$21.93 billion, 37% higher than the 1H10 figure of R$16.02 billion, reflecting the 12% increase in sales revenue, fueled by the 2% upturn in oil and natural gas production and, especially, the increase in the domestic sales volume of oil products (+9%) and gas (+7%), whose prices were higher thanks to the 5% increase in the average realization price.
Net Income per Segment (R$ million) 1
|Exploration e Production||10,593||7,649||19,920||14,961|
|Refining, Tranportation & Marketin||(2,280)||(108)||(2,375)||1,008|
(1) Includes inter-segment transactions which are eliminated when calculating the Company’s net income
(2) Excluding the Corporate segment
First-half investments totaled R$32 billion, 16% less than in the same period last year, the majority of which allocated to E&P (46%) and RT&M (38%), which jointly absorbed 84% of the total. Most of the investments were financed by the Company’s own cash flow, which, measured by EBITDA, reached R$16.1 billion in 2Q11 and R$32.2 billion in 1H11.
Leverage remained at comfortable levels (17%), below the 35% limit established by the Company itself.
Moody’s upgraded Petrobras’ foreign-currency risk rating from Baa1 to A3. The upgrade also applied to debt of subsidiaries guaranteed by Petrobras.