Record profit for Bezen Group in 2022: 441 million dollars

by time news

The Bazen Group published today (Thursday) its financial statements for 2022, and from them it is wrong that the company recorded a profit. The EBITDA was 776 million dollars while the net profit was 441 million dollars – almost twice as much as last year. In addition, the company recorded a decrease of 224 million dollars in the amount of net debt in 2022. In light of the data, the company announced the distribution of a dividend of 220 million dollars. Rating company Ma’alot S&P raised the credit rating to ‘A+’ with a stable outlook.

Moshe Kaplinsky, Chairman of the Bezen Group, said that “Bezen is an island of stability in a complex global reality in the field of energy and it will continue to be a significant pillar in the energy security of the State of Israel. We have carried out an examination of our strategy and focused it according to the changing reality. The very good results this year allow us to continue to responsibly manage both the investments in strategy and assets, both the reduction of debt and the distribution of dividends.”

“In December, Assaf Almagor took over the position of CEO of the Bazen Group, after Malachi Alfer’s announcement of his retirement. Almagor grew up within the group and in his last position served for 10 years as the CEO of the subsidiary Carmel Olpinim. In accordance with the policy, we will distribute a dividend of 220 million dollars to the shareholders, of which 20 million dollars will be in the form of an own purchase, and this alongside continuing to significantly reduce the company’s debt “.

Moshe Kaplinsky (Photo: Sagi Moran)

Moshe Kaplinsky (Photo: Sagi Moran)

Almagor said that “the year 2022 ends for the group with continued improvement in business performance and almost maximum utilization of all refining facilities. Despite the challenges in the markets, Bazen’s high capabilities have led to the utilization of profit streams in the field of refining and we anticipate that the trend will continue in the first quarter of 2023.”

“The year 2023 opened with a continuation of the same trend and the business environment continues to be positive even in the first quarter of the year. The spread of diesel over the Brent – the main product that Zen produces, which constitutes over 40% of our output, continues to be very high and reached close to the publication of the report to $28 per barrel This is an excellent market environment for Bazen.”

“The impressive results in the refining sector were able to cover a year with a modest contribution from the polymers sector with an EBITDA of 32 million dollars, a result that was mainly due to extensive measures in economies around the world that were taken in an attempt to address inflation by raising interest rates. The demand that was damaged as a result directly affects the polymers sector.

Regarding the net financial debt, we acted in favor of a significant lowering of the debt from a level of 841 million dollars at the end of 2021 to a level of 617 million at the end of this year and a financial debt ratio of 0.8. As a direct follow-up to this, the rating report of the Ma’alot S&P company was published yesterday, which expressed confidence in our activity and raised Bazen’s credit rating to ‘A+’ with a stable outlook.”

Assaf Almagor (Photo: Sagi Moran)

Assaf Almagor (Photo: Sagi Moran)

“Continuing to the ESG report published last September, we approved a new policy of donating to the community – half a percent of the profit before tax (about NIS 10 million based on this year’s profits), thus aligning ourselves with the accepted global benchmark in this field alongside the companies leading in the world”.

“Finally, as part of the implementation of a transparency policy with stakeholders and investors, the Bazen Group began publishing diesel and gasoline margins on the company’s website for the first time this week.”

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