Repsol Q3 Profits Down By Nearly Half

MADRID (AP) — Spanish energy company Repsol-YPF said Thursday its third quarter net profit fell 47 percent compared to the same period last year because of lower crude prices and a huge drop in refining margins.

Profit in the July-September period totaled euro368 million ($553 million) compared to euro699 million in the same period of 2008, the company said.

In Spain, the company's refining margin dropped 96 percent — from $7.4 a barrel in the third quarter of 2008 to 30 U.S. cents in the same period of this year.

For the first nine months of the year, Repsol said its net profit was down 55 percent to euro1.26 billion ($1.89 billion). Operating income over that stretch was down by a similar percentage.

"Nevertheless, during the third quarter of 2009 operating income experienced a slight improvement compared to the previous quarter, a reflection of the signs of recovery in the economic environment," the company said.

In early trading Repsol shares were off 0.2 percent at euro18.85 ($28.34).