In 2016, the Trade and Storage segment’s operating profit was PLN 1,158m, up PLN 776m, having more than doubled on the previous year. At PLN 1,410m, EBITDA was higher than in 2015, by PLN 787m. The segment’s revenue reached PLN 28,179m, down by PLN 3,564m (or 11%) year on year. However, operating expenses were reduced by PLN 4,339m (14%), to a total of PLN 27,022m, contributing to the segment’s improved performance. The segment’s result was attributable to low prices of oil bringing down the cost of gas procurement under PGNiG’s key long-term contract and, consequently, translating into higher margins. Thanks to the efforts aimed at making prices more flexible, operating profit doubled despite several tariff reductions. As the end of 2016, approx. 2.2 bcm of gas was held in underground storage – roughly 24% more than as at the end of 2015.
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