Novatek Q2 Net Profit Leaps 68%

The country's second-largest gas producer, Novatek, on Wednesday reported a 67.7 percent increase in net profit in the second quarter of 2008, year-on-year, which came in below analysts' expectations.

The company said its net profit rose to 7.06 billion rubles ($290.1 million) in the second quarter compared to 4.21 billion rubles in the same period of last year. Seven analysts polled gave an average forecast of 7.5 billion rubles.

Novatek said total revenues, calculated under international financial reporting standards, rose by 42 percent to 21.35 billion rubles, in line with the average analyst forecast of 21.3 billion rubles.

Earnings before interest, taxation, depreciation and amortization (EBIDTA) came in at 10.34 billion rubles, up from 7.11 billion rubles in the second quarter of 2007, but also below average analyst forecast of 11.11 billion rubles. Novatek shares closed 0.53 percent up on the MICEX before the results were announced.