Gazprom posts profits up 5-fold in 2015

Russian gas giant Gazprom said Thursday its net profit grew almost five-fold in 2015 despite the falling oil price, partly due to a rise in exports and the ruble's plunge in value.

The state-controlled group during 2015 earned net profit of 787 billion rubles ($12.2 billion), higher than predicted by analysts interviewed by the Interfax news agency.

Gazprom in 2014 saw its profits plunge sevenfold to 159 billion rubles, weighed down by fallout from the Ukraine crisis and the shrinking value of the ruble.

The company said in its latest annual results that there was a big increase in "finance income".

However, its operating profit actually declined by 6 percent to 1.23 trillion rubles ($19.02 billion), while its operating costs rose 18 percent to 4.6 trillion rubles ($71.78 billion).

Gazprom's sales were up 9 percent to 6.07 trillion rubles ($94.03 billion).

The gas giant attributed its success to the strength of its gas exports to the European Union and Turkey, which always account for most of its profits.

Those exports went up 24 percent partly due to a large increase in volumes and also because the average price of gas has risen 12 percent in Russian rubles, due to the plunge in the currency's value.

Exports to the former Soviet Union were up 4 percent but volumes fell 16 percent partly due to the gas dispute with neighbouring Ukraine. This was compensated by the price rise in rubles.

Gazprom's sales in Russia fell by 2 percent to 805.6 billion rubles.