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    Sasikanth Chilukuru • Morgan Stanley

    Sasikanth Chilukuru's questions to OMV AG (OMVKY) leadership

    Sasikanth Chilukuru's questions to OMV AG (OMVKY) leadership • Q1 2025

    Question

    Sasikanth Chilukuru of Morgan Stanley asked about the current refining margin levels and any recent changes in demand, particularly for distillates. He also requested guidance on the dividends expected to be paid to minority shareholders for 2025.

    Answer

    An executive noted that April refining margins were slightly better than the Q1 average but the environment remains tough, with jet fuel performing well while some business segments show weakness. CFO Reinhard Florey clarified the minority dividend question, explaining that the cash outflow to ADNOC (the 25% minority shareholder in Borealis) is part of a net calculation that also includes inflows from Borouge, which will ultimately adjust the final capital injection for the BGI transaction.

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    Sasikanth Chilukuru's questions to OMV AG (OMVKY) leadership • Q2 2024

    Question

    Sasikanth Chilukuru asked for details on the upgraded polyolefin margin guidance, seeking to understand the split between Q2 performance and forward-looking expectations. He also inquired about the sustainability of demand, the timeline for dividends from the Baystar JV, and requested clarification on the Petrobrazi refinery's operational status.

    Answer

    CEO Alfred Stern clarified that the Petrobrazi refinery turnaround was in 2023 and the plant is now fully available. He attributed strong polyolefin margins to improved demand, market share gains, and import constraints, stating the upgraded guidance reflects an expectation for these conditions to persist. Regarding Baystar, he noted 2025 will be a more meaningful year for contributions, with CFO Reinhard Florey adding that the JV will likely focus on deleveraging before initiating dividend payments.

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    Sasikanth Chilukuru's questions to OMV AG (OMVKY) leadership • Q2 2024

    Question

    Sasikanth Chilukuru of Morgan Stanley asked for details on the upgraded polyolefin margin guidance, questioning the drivers and sustainability of demand. He also inquired about the Baystar JV's progress, specifically the timeline for potential dividend distributions, and sought clarification on the operational status of the Petrobrazi refinery.

    Answer

    CEO Alfred Stern explained that the improved polyolefin margin outlook is due to a mix of slightly better demand, market share gains, and limited imports into Europe, with the situation expected to persist. Regarding Baystar, he noted the cracker is at high utilization and the PE plant is ramping up, but CFO Reinhard Florey clarified that positive cash flow in 2025 will likely be used for deleveraging before dividends are paid. Mr. Stern also confirmed the Petrobrazi refinery is fully available, as its major turnaround was in 2023.

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