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ATHEX Annual Greek Roadshow
September 2013
1 1
Contents
• Introduction – Group Overview
• Strategy update
• Strategic business units (SBUs)
• Funding & Dividend
• Appendix
2 2
Group’s Profile
• Largest independent downstream Group in SEE, with Power & Gas investments
– €10b Turnover with 14 MT of product sales
– Leading domestic market position covering c. 60% of local wholesale market fuels demand
– Regional footprint through subsidiaries and exports enabling coastal location of assets
• Completed its transformational investment plan, with further upside on
competitiveness improvement, supporting significant cash generation growth
– Implemented a €2bn investment plan allowing to deliver €150-200m of FY incremental
EBITDA at mid-cycle margins
– Transformation initiatives added c.€250m annual benefits with additional opportunities of
€150m over the next 24 months
– Assets allow upside potential on the back of refining margins and market growth
• Consistent delivery of targets with tight balance sheet management
– Achievement of strategic targets, despite Greek crisis & industry “black swans”
– Completion of capex cycle allows deleveraging from higher than target gearing
– Opportunities for value monetisation (DEPA/DESFA sale process)
– Strong balance sheet post refinancing and €500m Eurobond issue
3 3
Refinery assets: Coastal location supports integration and provides growth
opportunities in neighboring markets
Coastal location of refineries ensures wide crude
oil sourcing options
Supply chain advantage for SEE/East Med
markets with end-products
Opportunities for regional consolidation and
synergies on logistics footprint
ROMANIA
TURKEY
BULGARIA
SERBIA
CYPRUS
FYROM
GREECE
ALBANIA
BOSNIA
MONTENEGRO
Refining
Marketing
Power & Gas
11.0
8.1 7.3
11.0
13.9
7.0
Aspropygros Elefsina Thessaloniki
NCI Solomon
Nelson/Solomon complexity – benchmark margins ($/bbl, average 2011-12)
5 -3 4
26%15%
32%45%
9% 8%
23% 21%
10% 11%
Pre upgrade Current
Fuel oil Diesel/Gas oil Jet Gasoline Other
Group product mix
15% 11%
10%
0%
75%89%
Pre Upgrade Current
Low sulphur Medium sulphur High sulphur
Group Crude slate
4 4
Contents
• Introduction - Group overview
• Strategy update
• Strategic business units (SBUs)
• Funding & Dividend
• Appendix
2007-12 strategy review Successful execution of Group strategy to deliver profitability growth
5
1
2
5
Upgrade Refining Assets
Manage Portfolio for
value
Fit-for-purpose organisation
3
Enhance vertical
integration
4 Improve competitiveness
• Completed Elefsina and Thessaloniki upgrades successfully
• €150-200m profitability step-up expected (benchmark margin
driven)
• Doubled domestic market share - BP network
• Increased benefit of regional integration
• Refocus E&P
• Power generation portfolio JV
• Refining improvements (DIAS)
• Marketing competitiveness
• Procurement (BEST 80)
• Cost structure
• Reduced headcount by 21%
• Established Group culture
• Shared services
6
2013-2017 Strategy Update – Business priorities Business strategy refocuses on operational excellence
• Realise new refinery potential
• Optimize South Hub refining operations and synergies
with Thessaloniki refinery
1
2
5
Consolidate market position
leveraging on new asset base
Develop our people and
continue to build culture of
excellence
3 Enhance competitiveness
improvement momentum
4 Leverage business portfolio
Realise full benefit of the new
investment
• Implement additional operational improvements in refining
• Rebase Domestic Marketing to current environment
• Achieve optimal organisational structure
• Grow ex-refinery trading on the back of assets complexity
• Develop regional footprint strategy (wholesale/retail)
• Maximise value out of gas participation (35% in DEPA/DESFA)
• Enhance value generation for all our businesses
7
2013-2017 Strategy update – Financial targets Risk management and cash flow maximisation are key strategic priorities
• Achieve medium term EBITDA of €700m pa
• Deliver €200-350m FCF pa
• Reduce Debt/EBITDA < 2 within 3 years
• Decrease gearing to D/E < 0.75
• Increase capital markets participation
• Expand structured working capital financing
1
2 Deleverage Group
3 Diversify funding mix
4 Reduce funding costs
Improve profitability
• Exploit opportunities post Eurobond issue and Greek banking system
recap
• Review debt structure and cash management policy
Transformational change of ELPE cash flow profile, on operating profitability uplift and
capex cycle completion
400
200
150
40
500-700
600-700
Pre-upgrade Elefsina upgrade Performance
Improvement
Greek market
decline
Margins* Medium Term
Adjusted EBITDA projected evolution (€ mil)
400 (700)
(300)
EBITDA Capex Pre Tax Free Cash
Flow
Investment phase
350-550
(100)-(150)
500-700
EBITDA Capex Pre Tax Free Cash
Flow
Post-upgrade
Cash Flow profile pre and post-investment plan** (€ mil)
8 (*) $1/bbl sensitivity in margins results to €90m, assuming full utilisation of refineries and €/$ at 1.3
(**) assuming mid-cycle margins
Average FCC
benchmark refining
margin at $4/bbl
48
50
79
69
100
60
60
80
Mar
ketin
g
Com
petit
iven
ess
Original target Additional scope
Reo
rgan
isat
ion
& H
R
90 30
Pro
cure
men
t
(BE
ST
80)
R
efin
ing
Exc
elle
nce
170 70
9
Competitiveness improvements Targets raised in response to market condition; further opportunities to increase annual
performance of €150m (vs current baseline) for implementation
Evolution of transformation initiatives (€m)
62
18
400
246
165
2012 Medium
Term Target
YTD 1H13 2008-11
Overview of transformation initiatives (€m)
Upside
potential in
excess of
€150m
Achieved YTD
466526
458506
301357
233 254
7
61
117
130
190
7.3 7.22 7.076.77
3.74
4.38
2.87
4.7
0
100
200
300
400
500
600
700
800
2005 2006 2007 2008 2009 2010 2011 2012
EURm
10
Group adjusted EBITDA (€m) vs benchmark FCC cracking margins ($/bbl)
Benchmark FCC
cracking margins
Contribution from
transformation
initiatives
Competitiveness improvements Implementation of transformation initiatives supported Group results through a period of
weak margins and Greek crisis
11 11
Contents
• Introduction - Group overview
• Strategy update
• Strategic Business Units (SBUs)
• Funding & Dividend
• Appendix
12
Greek Refining, Supply & Trading economics USD based value chain with significant trading returns complementing refining; export
sales expected to exceed 50%, with domestic market premia accounting for less than
30% of EBITDA
Markets
(sales premia varying
across channels)
Refining
(Med benchmark returns
& operations performance)
Refined Products
(16.0m MT)
Imported Products
(1-1.5m MT)
Aviation & Bunkering
(Med competitive pricing)
Exports, Intra-Group
(Platts Med FOB based + premia)
Domestic market
(Import parity pricing)
6 MT
3 MT
Exports, 3rd parties
(Platts Med FOB based)
2 MT
5 MT
Aspropyrgos
NCI 11.0
145kbpd
FCC
Thessaloniki
NCI 7.3
95kbpd
Hydroskimming
Elefsina
NCI 8.1
100kbpd
HDC
16 MT
1-1.5 MT
$ / €
Total ELPE capacity
Aviation &
Bunkering
C&I (Construction,
wholesale)
Retail
13
Greek petroleum market overview and route to market HP enjoys leading domestic market position with high vertical integration and good
logistics assets
3rd party
Imports
60-65% 25-30%
0-10%
Greek Refining capacity: 25MT
Domestic market: 12.5MT
ELPE Group
subsidiaries: 3.5MT
(30%)
MOH Group
subsidiaries: 2.5MT
(20%)
Independent
marketing
companies: 5MT
(40%)
ELPE exports: 7MT
3rd party exports:
5MT
16MT
ELPE Group
subsidiaries: 2MT
23%
Others
12%
Bunkers 21%
Jet
7%
Gasoil
16%
Diesel 21%
Gasoline
Greek market product breakdown
Specialty markets
(PPC, public sector):
1.5MT (10%)
Contribution per business and refining volumes breakdown Reliance on Greek market significantly reduced following Elefsina upgrade
14
23
9
8
23
46
17
Total
60
Export trading
5
PetChems International
(trading &
marketing)
9
Aviation &
Bunkering
(trading &
marketing)
Domestic
market
(trading &
marketing)
Refining
Group “see-through” EBITDA breakdown
– pro-forma post upgrade (%) Dependency on
Greek market
None
Low
High
Refining sales volume breakdown
– pro-forma post upgrade (%)
33%
17%
Exports 50%
Aviation & Bunkering
Domestic market
Public sector sales accounts for c.4% of domestic market (1.5% of total
sales)
15 15
Refined Oil products balances 2000-2025f million tonnes / year
Regional market Increased middle distillates yield leveraging on regional market dynamics
-30
-25
-20
-15
-10
-5
0
5
10
15
LPG Naphtha Gasoline Jet/Kero Diesel Gasoil LSFO HSFO
Bal
ance
s, M
t .
2000 2005 2010 2015 2020 2025
Surplus
Deficit
Source Wood Mackenzie, 2012
Group product balances 2011-2013 pro forma million tonnes / year
MD Naphtha FO MOGAS
2011 2013 Pro forma
LONG
SHORT
32%
10%
37% 20%
Domestic Oil products demand 2008-2012 million tonnes / year
Top European markets with expected
demand increase (2013-2022) - mil MT
Source: Wood Mackenzie, Feb 2013
2011
9.239
2010
10.125
7.690
2012 2008
10.832
2009
11.413
0
2
4
6
8
10
12
SER SLV HUN ROM BEL CZ BUL GR TUR NL UKR POL
1,175 1,078 1,041 982
1,1701,108
981 949
2009 2010 2011 2012EKO HF
16
Marketing Leading position in the Greek market enhanced following BP Greek business acquisition;
diversification in other SE European markets increases downstream integration
Autofuels domestic market share
evolution (%)
Domestic Retail network evolution (# PS)
2,345 2,186 2,022 1,931
International Marketing: Regional footprint
30
15
2012 (post BP
acquisition)
2008 (EKO only)
International Marketing: Sales volumes evolution
(MT)
194 220 222 336
126152 150
117256
243 237215
2010
1.051
436
2009
1.014
438
2012
1.072
404
2011
1.041
433
JPK SER BU CY
1,170
17 17
Petrochemicals Operations centred on vertical integration for higher value product; trading shifted to
exports markets
Position:
• Only petrochemicals producer in Greece with
material presence
• Domestic market share exceeds 50% in all
products, produced or traded
• Strong competitive advantage in polypropylene -
vertical integration play
• Exports account for 60% of total sales; strong
export markets in Turkey, Italy and Iberia
Targets
• Debottleneck propylene production
• Exploit niche markets:
– Add new commodity plastics (PE)
– Increase selectively PP resin grade portfolio
– Increase selectively BOPP film types
• Leverage regional positioning and in-market
presence to increase trading
Petrochemicals supply chain
(90 kt)
Thessaloniki
Refinery Solvents Plant
(90 kt)
Caustic/Chlorine
Plant NaCI Imports
Aspropyrgos
Refinery BOPP Film
(26 kt)
PP Plant
(220 kt) Propylene
Splitter
Imported
Chemicals
Distribution
Centre
M
A
R
K
E
T
18 18
Power: second largest IPP in Greece; development of a renewable energy
portfolio
Thisvi 420MW CCGT power plant
• Elpedison, is a 50/50 joint venture between
Hellenic Petroleum and Edison, Italy’s 2nd
largest electricity producer and gas
distributor and subsidiary of EdF Group
– Owns and operates 810MW of installed
CCGT capacity: a 390MW plant in
Thessaloniki and a 420MW in Thisvi
– Energy market in Greece under
restructuring; cost recovery model allows
system stability and debt servicing in the
short term
– Active in power trading & marketing, albeit
with limited exposure due to market
anomalies
• Renewables portfolio target > 100MW
(wind, PV, biomass) subject to fiscal
environment and market developments
Consolidated as Associate
19 19
Gas: 35% participation in DEPA, Greece’s incumbent gas company (in sale
process)
DEPA
– Long-term contracts on pipe gas (Russian & Azeri) and
capacity rights on two in-bound interconnecting pipelines
– Long-term contracts with power generators, eligible
industrial customers and existing EPAs
– Owns 51% of the local supply companies (EPAs), with
rights until 2036 to sell gas to non-eligible customers
DESFA (RAB)
– Greece’s gas grid and LNG import terminal owner and
operator
– International pipelines: Participation in TAP and Greece-
Bulgaria Interconnector
• DEPA joint sale process with HRADF; SOCAR €400m offer
for DESFA accepted by HRADF and ELPE EGM; proposed
transaction subject to customary regulatory approvals
DEPA snapshot financials (€m)
2008 2009 2010 2011 2012*
EBITDA 240 166 211 288 287
Net Income 120 61 91 191 197
* Adjusted for settlement with PPC
Natural gas transmission network
DEPA Volumes 2007-12 (bcm) 4,3
3,3 3,6
4,2 4,0
3,8
2007 2012 2011 2010 2009 2008
Consolidated as Associate
20
Contents
• Introduction - Group overview
• Strategy update
• Strategic business units (SBUs)
• Funding & Dividend
• Appendix
21
Debt profile Successful refinancing consistent with communicated strategy. Funding and liquidity
issues addressed; main remaining challenge is A-L currency matching.
Drawn credit facilities by source
breakdown (post Eurobond)
62%6%
14%
18% Greek
International
Supranational
DCM
• 4-year, €500m bond issued on 8 May 2013
• Funding base diversification and maturity profile
extension achieved with new €500m Eurobond and
€605m Term Loans
• Part of proceeds used to prepay €225m facility
maturing within 2013; balance to be used for further
reduction of bank debt and crude supply trade
finance
• €400m RCF maturing 2Q13 extended for 12+6
months
• Further changes to funding mix will be evaluated
during the year, aiming to reduce costs and match
currency exposure 0
100
200
300
400
500
600
4Q13 2014 2015 2016 2017 2022
Term lines maturity overview (€m)
Banking
facilities
22
Eurobond issuance Successful execution of inaugural €500m issuance; benchmark transaction for Greek
issuers with strong additional interest and reverse enquiries from investors
Demand by Geography
18%
27%55%
Greek
Internationalprivate
Internationalinstitutional
• Unrated, 4-year €500m issue priced on 29 April 2013
• Standard Eurobond documentation structure with
listing in Luxemburg stock exchange
• Books closed early (24hrs) due to strong demand at
€3.5bn, an oversubscription of 7 times
• Significant interest from international investors,
exceeding 80% of order book
• The transaction was arranged by Alpha Bank, Credit
Suisse, Eurobank, HSBC and National Bank of
Greece
Debt structure and finance costs Debt structure during last 24 months was driven by emphasis on liquidity risk
management and response to the banking crisis. Opportunities for finance cost
reduction through deleverage and optimisation of gross debt and cash structure
23
Net Debt
1,8
Cash
0,9
Gross debt
2,7
1,9
0,8
Credit Lines
3,0
1,9
1,1
Commited lines
Gross/Net debt structure overview - €bn
• Step up in P&L interest charge due to Elefsina
completion
• 2013 refinancing resulted in a 2-2.5% increase of
average cost of funding
• “Negative carry” due to risk management and debt
capacity maintenance strategy throughout 2012 and
1H13
• Opportunity for improvement post Eurobond issue and
Greek bank recap
24
Dividend policy Reduced payout in FY12 on risk management considerations and weak margin
environment
EPS and DPS* 2009-2012 (€/share)
* Dividend will be subject to withholding tax in line with legislation in place at the time of approval / distribution
0.57 0.59
0.37
0.28
0.49
0.67
0.45
0.76
0.45 0.45 0.45
0.15
2009 2010 2011 2012
Reported EPS Adj. EPS DPS
25
Contents
• Introduction - Group overview
• Strategy update
• Strategic business units (SBUs)
• Funding & Dividend
• Appendix
Assets overview Core business around downstream assets with activities across the energy value chain
Refining, Supply & Trading
Domestic Marketing
International Marketing
Petrochemicals
Power & Gas
DESCRIPTION METRICS
• Exploration assets in Egypt: West Obayed (30%),
Mesaha (30%)
• Recently upgraded refining asset base: – Aspropyrgos (FCC, 145kbpd)
– Elefsina (HDC, 100kbpd)
– Thessaloniki (HS, 95kbpd)
• Owner of only refinery in FYROM
• Capacity: 16MT
• NCI: 9.3 /Solomon: 11.0
• Market share: 65%
• Tankage: 7m M3
• Leading position in all market channels (Retail,
Commercial, Aviation, Bunkering)
• c.1,900 petrol stations
• 30% market share
• Sales volumes: 3.3MT
• Presence in Cyprus, Montenegro, Serbia, Bulgaria
• Significant advantage on supply chain/vertical
integration
• c.280 petrol stations
• Sales volumes: 1MT
• Sole producer and main marketer in Greece with
strong export orientation
• PP value chain integrated with refineries
• Capacity (PP): 220 kt
• Second largest IPP in Greece (JV with Edison/EdF) • Capacity: 810 MW
(CCGT)
• 35% in Greece’s incumbent NatGas supply
company
• Volumes (2012):
4.2bcm
Exploration & Production
26
Our Group in numbers – key financials (FY12)
Domestic Marketing
International Marketing
Petrochemicals
Power & Gas
(1) Total sales (not consolidated at Group level)
(2) Net income contribution (consolidated using equity method)
(3) As consolidated (does not include associates), includes other business segments
ASSETS
€ Μ
SALES
€ Μ
EBITDA
€ Μ
FTEs
2,691 10,154
345
2,666
566 2,781 12 568
274 1,087
41
418
144 371 47 190
646 2,3901 702 972
GROUP
TOTAL3 4,350 10,469 444 4,051
27
Refining, Supply & Trading
28 28
Key Milestones Transforming stand-alone government controlled Greek companies to a leading private
sector regional energy player
PETROLA ( Elefsina
Refinery)
DEP &
DEPEKY (Greek E&P)
ELDA ( Aspropyrgos
Refinery)
ESSO -
PAPPAS ( Thessaloniki
Refinery)
PETROLA ( Elefsina
Refinery)
DEP &
DEPEKY (Greek E&P)
ELDA ( Aspropyrgos
Refinery)
ESSO -
PAPPAS ( Thessaloniki
Refinery)
1998 1960 –
1998 2003 2007 2008 2009 2013
Elpedison: 50/50 JV
with Italy’s Edison,
in Power
Libyan upstream
concessions sold to
GDF Suez for $170m
2010
Thessaloniki Refinery
upgrade completed
Sale of 70% stake in
W. Obayed upstream
concession in Egypt
Acquisition of BP’s
Ground Fuels business
in Greece
Merger with
Petrola
Hellas
Elpedison’s 2nd CCGT
Plant (420MW) in
commercial operation
Shareholding events
Listing of
new Group in
ASE/LSE
Greek Government
announces its
intention to divest
its shareholding in
ELPE
2011
DEPA/DESFA
privatisation
process
Elefsina
upgraded refinery
commercial
operation
POIH becomes
strategic investor
with 25% stake
Float
22%
Greek State
36%
POIH 42%
2012
Shareholding & Governance Controlling shareholders’ agreement supported successful transition from state to private
sector Group, divestment of remaining 35.5% held by the Greek State already announced
29
Shareholding structure
4%
36%
11%
Int’l institutionals 7%
Retail
43% POIH
Greek State
GR institutionals
Corporate Governance
Board of Directors:
• Consists of 13 members (4 executive and
9 non executive) appointed as per Articles
of Association
• Board Committees (Finance / Audit / HR)
Executive Committee:
• Key management executives with
responsibility for strategy and operations
Summary Group Structure1
30
HELLENIC
PETROLEUM
EKO S.A.
(and
subsidiaries) HPI AG
HELLENIC
FUELS S.A. HP SERBIA
LTD
HP
BULGARIA
LTD
HPMCYPRUS
LTD
JPK
ELPET
VALKANIKI Shipping
companies
ELPEDISON
B.V2
HPF plc
(treasury)
Domestic Marketing International Marketing
DEPA
Group
Gas supply,
transportation &
distribution
50%
Power Generation &
Trading Asprofos
S.A.
Engineering Services
PetChems
(BOPP film)
DIAXON
S.A.
35%
Gas & Power associates
63%
VARDAX
OKTA
(1) All companies 100% owned unless otherwise noted
(2) 45% owned through HPI
International Refining Others
80%
82%
31
Refineries complexity upgrade impact on the Group’s crude and product slate
26%15%
32%45%
9% 8%
23% 21%
10% 11%
Pre upgrade Current
Other
Gasoline
Jet
Diesel/Gas oil
Fuel oil
15% 11%
10%
0%
75%
89%
Pre Upgrade Current
High sulphur
Medium sulphur
Low sulphur
47%
24%
11%
11%
17%25%
64%
Pre upgrade Current
Other
Jet
Diesel/Gas oil
Fuel oil
Crude slate — Group-wide Product slate — Group-wide
Crude slate — Elefsina Product slate — Elefsina
41%
59%
100%
Pre upgrade Current
High sulphur
Medium sulphur
€ million, IFRS (Published) 2004 2005 2006 2007 2008 2009 2010 2011 2012
Income Statement Figures
Sales Volume (MT)- Refining 15,807 16,525 16,952 17,130 16,997 15,885 14,557 12,528 13,532
Sales Volume (MT)- Marketing 4,793 4,727 4,790 5,236 4,910 4,787 5,735 5,126 4,434
Net Sales 4,907 6,653 8,122 8,538 10,131 6,757 8,477 9,308 10,469
EBITDA 372 671 502 617 249 390 501 335 298
Adjusted EBITDA* 400 466 526 458 513 362 474 363 444
Net Income 128 334 260 351 24 175 180 114 84
Adjusted Net Income* 149 191 277 232 216 150 205 137 232
EPS (E) 0.42 1.09 0.85 1.15 0.08 0.57 0.59 0.37 0.28
Adjusted EPS (€)* 0.49 0.62 0.91 0.76 0.71 0.49 0.67 0.45 0.76
Balance Sheet / cash Flow Items
Capital Employed 2,335 2,956 3,442 3,557 3,153 3,927 4,191 4,217 4,350
Net Debt 386 699 1,044 977 679 1,419 1,629 1,687 1,855
Capital Expenditure 295 185 145 195 338 614 709 675 521
Dividend (€/share) 0.26 0.43 0.43 0.50 0.45 0.45 0.45 0.45 0.15
Key drivers
Brent crude ($/bbl) 38.0 55.2 68.1 72.9 98.3 62.6 80.3 111.0 111.7
FCC cracking Med margins ($/bbl) 7.2 7.3 7.3 7.1 6.8 3.7 4.4 2.9 4.7
€/$ 1.24 1.24 1.26 1.37 1.47 1.39 1.33 1.39 1.29
32
Group Key financials: 2004 - 2012 Strong track record of consistent delivery and balance sheet resilience
(*) Calculated as Reported less the Inventory effects and other one-off non-operating items and special income taxes
33
2Q 2013 GROUP KEY FIGURES
(*) Calculated as Reported less the Inventory effects and other non-operating items, including deferred tax charge due to tax rate increase
FY € million, IFRS 2Q 1H
2012 2012 2013 Δ% 2012 2013 Δ%
Income Statement
13,532 Sales Volume (MT) - Refining 3,258 3,857 18% 6,573 6,843 4%
4,434 Sales Volume (MT) - Marketing 1,102 1,032 -6% 2,263 1,894 -16%
10,469 Net Sales 2,363 2,556 8% 5,079 4,797 -6%
298 EBITDA 54 -23 - 162 -35 -
38 Associates' share of profit 12 7 -37% 31 39 24%
158 EBIT (including Associates' share of profit) 22 -76 - 110 -117 -
84 Net Income -28 -95 - 44 -173 -
444 Adjusted EBITDA * 197 21 -89% 272 59 -78%
335 Adjusted EBIT * (including Associates) 164 -32 - 220 -22 -
232 Adjusted Net Income * 86 -62 - 131 -83 -
Balance Sheet / Cash Flow
4,350 Capital Employed 4,259 4,101 -4%
1,855 Net Debt 1,818 1,802 -1%
521 Capital Expenditure 139 27 -80% 219 37 -83%
34
RESULTS HIGHLIGHTS Record low refining margins and increased crude supply costs outweighed positive
impact of Elefsina operation and 18% higher refining sales volumes; improved cashflow
from further working capital release led to Net Debt reduction
• 2Q13 Adjusted EBITDA at €21m (vs €197m in 2Q12) driven by historically low hydrocracking
margins and challenging industry conditions, especially in the Med. Average HP system
benchmark refining $3.3/bbl lower vs 2Q12
• Positive impact through the doubling of exports, as Elefsina overcomes start-up and initial
optimisation issues to reach 95% utilisation in 2Q13; additional benefits expected in the next 12-
24 months
• Domestic market consumption excluding heating gasoil down by 3%, the lowest drop since 2010,
driven by diesel demand recovery
• Net Income affected by reporting of higher depreciation and finance costs due to Elefsina start–
up. Reported results include negative impact of inventory losses on lower crude prices q-o-q
• Reduction of Net Debt to €1.8bn, with Gearing (D/CE) at 43.5%; lower domestic market sales led
to working capital release, with cashflow benefit offsetting lower profitability
• DESFA privatisation at final stage; binding offer received from SOCAR for €400m considered as
acceptable by HRADF and HELPE BoD. Transaction subject to ELPE EGM approval (2 Sep) and
competent regulatory authorities clearance. HELPE cash proceeds for 35% of DESFA will be
€212m, enabling accelerated deleveraging
35
INDUSTRY ENVIRONMENT Lower product cracks due to weak demand led to low benchmark margins for both HP
complex refineries, especially in April and May
Med FCC Cracking benchmark margins ($/bbl)
Med Gasoline cracks ($/bbl)
Med ULSD cracks ($/bbl)
Med Hydrocracking benchmark margins ($/bbl)
Med HSFO cracks ($/bbl)
Med Naphtha cracks ($/bbl)
- 3.6
- 1.8
2Q EBITDA by Segment (EURm)
Refining, Supply & Trading
Marketing
Petrochemicals
Other (incl. E&P, intersegment)
Group Total156
-11
85
30
40
31
10
22
17
14
15
2Q 12 Elefsinacontribution
RefiningMargins
Crude supply Domesticmarket (R&M)
Others (FX,provisions,other BUs)
2Q 13
197
21
36
CAUSAL TRACK & SEGMENTAL RESULTS OVERVIEW 2Q 2013 Weak Med refining environment underlines results, despite Elefsina positive contribution
Adjusted EBITDA causal track 2Q12 – 2Q13 (€m)
Refining,
S&T
MK
Chems
Other
(incl. E&P)
2Q Adjusted EBITDA by Segment (EURm)
2Q12 2Q13 Δ%
Refining, Supply & Trading 156 -11 -107%
Marketing 22 17 -23%
Petrochemicals 14 15 7%
Other (incl. E&P, intersegment) 5 0 -
Group Total 197 21 -89%
37
CASH FLOW PROFILE Completion of investment capex and lower domestic market sales result in release of
working capital and lower debt
95
Net Debt
1H13
1.802
Other Cash
Flows
-21
Working
Capital
-196
Maintenance
capex
34
Interest, Tax &
Dividends
EBITDA
35
Net Debt
FY 12
1.855
Net Debt
FY 11
1.687
Group Cash flow and Net debt evolution 1H13 (€m)
38
2Q 2013 FINANCIAL RESULTS GROUP PROFIT & LOSS ACCOUNT
(*) Includes derecognition of Elefsina project hedges (non-recurring)
(**) Includes 35% share of operating profit of DEPA Group
FY IFRS FINANCIAL STATEMENTS 2Q 1H
2012 € MILLION 2012 2013 Δ % 2012 2013 Δ %
10.469 Sales 2.363 2.556 8% 5.079 4.797 (6%)
(9.931) Cost of sales (2.253) (2.516) (12%) (4.804) (4.733) 1%
538 Gross profit 110 40 (63%) 275 64 (77%)
(409) Selling, distribution and administrative expenses (106) (116) (10%) (204) (216) (6%)
(4) Exploration expenses (1) (1) 3% (1) (2) (40%)
(6) Other operating (expenses) / income - net* 7 (7) - 9 (3) -
120 Operating profit (loss) 10 (84) - 78 (157) -
(54) Finance costs - net (10) (55) - (21) (102) -
11 Currency exchange gains /(losses) (46) 10 - (28) 9 -
38 Share of operating profit of associates** 12 7 (37%) 31 39 24%
115 Profit before income tax (34) (122) - 61 (211) -
(33) Income tax expense / (credit) 5 27 - (19) 33 -
81 Profit for the period (28) (95) - 43 (178) -
3 Minority Interest 1 (0) - 1 5 -
84 Net Income (Loss) (28) (95) - 44 (173) -
0,28 Basic and diluted EPS (in €) (0,09) (0,31) - 0,14 (0,57) -
298 Reported EBITDA 54 (23) - 162 (35) -
39
2Q 2013 FINANCIAL RESULTS GROUP BALANCE SHEET
(*) 35% share of DEPA Group book value (consolidated as an associate)
IFRS FINANCIAL STATEMENTS FY 1H
€ MILLION 2012 2013
Non-current assets
Tangible and Intangible assets 3.708 3.618
Investments in affiliated companies* 646 672
Other non-current assets 137 138
4.492 4.428
Current assets
Inventories 1.220 1.060
Trade and other receivables 791 884
Cash and cash equivalents 901 896
2.912 2.840
Total assets 7.404 7.269
Shareholders equity 2.376 2.185
Minority interest 121 114
Total equity 2.497 2.299
Non- current liabilities
Borrowings 383 1.386
Other non-current liabilities 222 183
605 1.569
Current liabilities
Trade and other payables 1.920 2.021
Borrowings 2.375 1.314
Other current liabilities 7 66
4.301 3.401
Total liabilities 4.907 4.970
Total equity and liabilities 7.404 7.269
40
2Q 2013 FINANCIAL RESULTS GROUP CASH FLOW
FY IFRS FINANCIAL STATEMENTS 1H 1H
2012 € MILLION 2012 2013
Cash flows from operating activities
558 Cash generated from operations 126 213
(34) Income and other taxes paid (3) (4)
524 Net cash (used in) / generated from operating activities 122 209
Cash flows from investing activities
(518) Purchase of property, plant and equipment & intangible assets (219) (37)
4 Sale of property, plant and equipment & intangible assets 1 3
2 Sale of subsidiary - -
13 Interest received 7 4
(1) Investments in associates (1) (3)
9 Dividends received - -
(491) Net cash used in investing activities (213) (33)
Cash flows from financing activities
(67) Interest paid (27) (93)
(140) Dividends paid (2) (2)
683 Proceeds from borrowings 349 1.276
(591) Repayment of borrowings (283) (1.361)
(6) Payments to minority holdings from share capital decrease - -
(122) Net cash generated from / (used in ) financing activities 37 (180)
(89) Net increase/(decrease) in cash & cash equivalents (53) (4)
985 Cash & cash equivalents at the beginning of the period 985 901
4 Exchange losses on cash & cash equivalents 3 (2)
(89) Net increase/(decrease) in cash & cash equivalents (53) (4)
901 Cash & cash equivalents at end of the period 936 895
41 (*) Calculated as Reported less the Inventory effects and other non-operating items
2Q 2013 FINANCIAL RESULTS SEGMENTAL ANALYSIS
FY 2Q 1H
2012 € million, IFRS 2012 2013 Δ% 2012 2013 Δ%
Reported EBITDA
210 Refining, Supply & Trading 17 -53 - 110 -88 -
44 Marketing 20 17 -15% 29 26 -10%
47 Petrochemicals 14 13 -5% 22 27 24%
300 Core Business 51 -23 - 161 -34 -
-2 Other (incl. E&P) 3 0 -94% 2 -1 -
298 Total 54 -23 - 162 -35 -
89 Associates (Power & Gas) share attributable to Group 17 20 16% 69 51 -26%
Adjusted EBITDA (*)
345 Refining, Supply & Trading 156 -11 - 212 10 -95%
53 Marketing 22 17 -22% 35 21 -38%
47 Petrochemicals 14 15 10% 22 29 33%
444 Core Business 191 21 -89% 269 60 -78%
0 Other (incl. E&P) 5 0 -96% 3 -1 -
444 Total 197 21 -89% 272 59 -78%
121 Associates (Power & Gas) share attributable to Group 17 20 16% 69 51 -26%
Adjusted EBIT (*)
244 Refining, Supply & Trading 132 -53 - 167 -75 -
-6 Marketing 7 3 -59% 5 -6 -
29 Petrochemicals 9 11 18% 13 21 58%
267 Core Business 148 -39 - 186 -60 -
-2 Other (incl. E&P) 4 0 -99% 2 -1 -
265 Total 153 -39 - 188 -61 -
87 Associates (Power & Gas) share attributable to Group 10 11 11% 54 34 -37%
42
2Q 2013 FINANCIAL RESULTS SEGMENTAL ANALYSIS – II
FY 2Q 1H
2012 € million, IFRS 2012 2013 Δ% 2012 2013 Δ%
Volumes (M/T'000)
13.532 Refining, Supply & Trading 3.258 3.857 18% 6.573 6.843 4%
4.434 Marketing 1.102 1.032 -6% 2.263 1.894 -16%
348 Petrochemicals 95 74 -22% 183 143 -22%
18.314 Total - Core Business 4.455 4.963 11% 9.019 8.880 -2%
Sales
10.154 Refining, Supply & Trading 2.220 2.433 10% 4.907 4.529 -8%
3.868 Marketing 957 830 -13% 1.960 1.572 -20%
371 Petrochemicals 102 80 -22% 193 160 -17%
14.393 Core Business 3.280 3.343 2% 7.061 6.261 -11%
-3.924 Intersegment & other -917 -787 35% -1.982 -1.464 26%
10.469 Total 2.363 2.556 8% 5.079 4.797 -6%
Capital Employed
1.101 Refining, Supply & Trading 1.294 2.392 85%
840 Marketing 781 832 7%
144 Petrochemicals 164 140 -15%
2.085 Core Business 2.238 3.363 50%
1.590 Refinery Upgrades 1.471 0 -100%
646 Associates (Power & Gas) 637 672 6%
29 Other (incl. E&P) -87 66 -
4.350 Total 4.259 4.101 -4%
43
Disclaimer
Forward looking statements
Hellenic Petroleum do not in general publish forecasts regarding their future financial
results. The financial forecasts contained in this document are based on a series of
assumptions, which are subject to the occurrence of events that can neither be
reasonably foreseen by Hellenic Petroleum, nor are within Hellenic Petroleum's control.
The said forecasts represent management's estimates, and should be treated as mere
estimates. There is no certainty that the actual financial results of Hellenic Petroleum
will be in line with the forecasted ones.
In particular, the actual results may differ (even materially) from the forecasted ones
due to, among other reasons, changes in the financial conditions within Greece,
fluctuations in the prices of crude oil and oil products in general, as well as fluctuations
in foreign currencies rates, international petrochemicals prices, changes in supply and
demand and changes of weather conditions. Consequently, it should be stressed that
Hellenic Petroleum do not, and could not reasonably be expected to, provide any
representation or guarantee, with respect to the creditworthiness of the forecasts.
This presentation also contains certain financial information and key performance
indicators which are primarily focused at providing a “business” perspective and as a
consequence may not be presented in accordance with International Financial
Reporting Standards (IFRS).
