DOCUMENTS FOR THE ANNUAL GENERAL MEETING
DOCUMENTS FOR THE ANNUAL GENERAL MEETING
DOCUMENTS FOR THE ANNUAL GENERAL MEETING
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
MOL Plc. Annual General Meeting 2013 Documents<br />
beside almost flattish diesel sales, sales of loss-making black<br />
products decreased considerably, by 20% yoy.<br />
Decreasing retail sales in<br />
line with lower market<br />
demand<br />
Total retail sales volumes, including LPG and lubricants volumes,<br />
decreased by 4% in line with lower market demand.<br />
Total retail sales (kt) FY 2011 FY 2012 YoY %<br />
Hungary 804 767 (5)<br />
Slovakia 452 424 (6)<br />
Croatia 1,226 1,134 (8)<br />
Romania 451 469 4<br />
Other 574 581 1<br />
Total retail sales 3,507 3,375 (4)<br />
In Hungary, Slovakia and Croatia, retail fuel sales decreased as a<br />
result of the economic slowdown and increasing retail fuel prices,<br />
however our market share was maintained in other key countries.<br />
In Romania, retail fuel sales increased in line with our network<br />
development growth and intensive marketing activities and thus<br />
achieved 12% market share.<br />
Retail: successful<br />
implementation of<br />
strategy continued...<br />
Starting on 1 st October, 2012, Pap Oil became part of MOL Group<br />
with 125 filling stations in the Czech Republic. In INA, we continued<br />
the retail business efficiency improvement program.<br />
Downstream outlook<br />
The New Downstream<br />
Program: most of the<br />
benefit is due by 2013<br />
Efficiency improvement<br />
through cost management -<br />
70% of the benefits…<br />
As a response to the challenging Downstream business environment,<br />
in 2012, MOL initiated its comprehensive, Group-level efficiency<br />
program, the New Downstream Program, targeting USD 500-550mn<br />
EBITDA improvement by 2014 on a like-for-like basis compared with<br />
2011. In Downstream, the spotlight will be on the continuation of<br />
the program and the successful achievement of its ambitious target.<br />
Most of the total benefit, USD 400mn, compared with the base<br />
period, should be achieved by the end of 2013.<br />
The primary focus of the program is on cost reduction, which will<br />
represent 70% of the benefits. Actions targeting key cost elements,<br />
such as energy, maintenance, organisational costs and hydrocarbon<br />
losses will deliver more than 50% of the total benefits.<br />
Energy costs are expected to reduce significantly by 2014 through<br />
more efficient energy consumption and distribution, increased<br />
flexibility, diversification of energy sources and achieving more<br />
favourable supply conditions and prices.<br />
Maintenance costs have been revised throughout our value chain<br />
aiming at decreasing Complex Maintenance Spending (CMS) by 20%<br />
by 2014.<br />
Further optimisation of existing assets, advanced hydrocarbon loss<br />
management, review of our business processes and streamlining of<br />
our organisation are also among the key cost reduction measures.<br />
22/94