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Russian energy giant Gazprom sees profits soar

2015-08-10 35 Dailymotion

A weak rouble has helped to boost profits for Gazprom. The Russian energy giant beat expectations with a 71 percent jump in first-quarter net profit to 5.9 billion dollars. <br /><br /> Gazprom sells its gas in dollars, so a weak currency means the price in roubles rises.<br /><br /> That helped to compensate for a dip of almost 10 percent in the volume of sales which was partly due to sanctions imposed by the West following Russia’s actions in Ukraine.<br /><br /> The price of oil is key in determining gas prices. Now that crude has dipped below 50 dollars a barrel analysts believe Gazprom’s profits for the rest of the year will be weaker than the first quarter.

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