Russia's biggest oil producer OAO Rosneft (ROSN.RS) Monday said net profit surged sevenfold in the first quarter of the year, driven by acquisitions, growth in refining volumes and high oil prices.
Net profit under U.S. Generally Accepted Accounting Principles reached $2.56 billion from $358 million a year earlier, just ahead of a Dow Jones Newswires poll of six analysts' estimates, which had predicted $2.53 billion.
The 2007 figure had also been depressed by a one-off tax payment relating to Rosneft's purchase of Yuganskneftegaz.
Revenue doubled to $16.37 billion in the three months from $8.22 billion a year ago, as organic production growth reached 63% and Rosneft continued to benefit from its acquisitions of former OAO Yukos assets like Tomskneft and Samaraneftegaz.
"We will continue to focus on growing profitability through increased sales of higher margin products coupled with relentless cost control, debt reduction and leading organic production growth," Chief Executive Sergei Bogdanchikov said in a statement.
Since bottoming out in early February after a general slump in Russian stocks, Rosneft shares have risen by around 70%, spurred by high crude prices and expected tax cuts in the sector.
At 0900 GMT, they were trading 0.7% higher at $11.90 each in Moscow.