Repsol earnings increase 46% to 1.546 billion euros

The global oil company posts its highest profit in a decade despite downstream losses in a year marked by acquisitions and efforts to strenghthen its position in Mexico.

Spanish energy company Repsol reports that its net income in the first half of 2018 was 1.55 billion euros ($1.8 billion) — a 46% increase on the same period last year and the highest profit posted during the period in the last decade.

Despite positive results in the retailing segment, the downstream unit posted earnings of 762 million euros, down from the 929 million it earned in the first half of 2017, with refining taking the biggest hit due to the weakness of the dollar against the euro and planned maintenance shutdowns.

The marketing area saw increased earnings and sales in a year marked by a biggest investment in digital applications and the opening of its first sites in Mexico.

In March, Repsol opened its first service stations in Mexico as part of its international expansion strategy. This marks the beginning of a long-term project through which the company aims to gain an 8-10% market share in the country in the next five years.

This week Repsol took another step into the Mexican market with the acquisition of 40% of a local lubricants business Bardahl.