Petrolexportimport on target

Petrolexportimport Bucharest, specialising in oil products trade concluded 2002 with 27.5bn ROL ($0.8 million) in net profit, down 64% from the previous year in real terms. The company shifted focus to dealing on the domestic market on its own, which boost turnover by more than 150% to 740bn ROL ($22.4 million) last year, from the 271bn ROL ($9.3 million) in 2001. This strategy, however, led to a net profit decline. Petrolexportimport managers early in the year were estimating to make 8.25bn ROL gross profit and 196.7bn ROL turnover, as shown in the S&R budget. Some of the problems the company was faced with throughout 2002 were the fiercer competition on the oil product market, along with the lack of cash and the arrearage, given that it has to carry out all the sell-buy contracts for oil products on its own. Petrolexportimport’s debts at the end of last year totalled 192bn ROL, while receivables reached 114bn ROL. Out of the total debts by mid last year ($1.9 million), debts to suppliers accounted for more than $1 million.