Russian oil major Lukoil has reported that its net income excluding hedging and impairment loss reached $8.16 billion in the first half of 2008, which is an increase of 103.5% compared to the same period of 2007. Reported net income amounted to $7.29 billion in the first half of 2008, which is an increase of 91.1% year-on-year.

Earnings before interest, taxes, depreciation and amortization were $11.08 billion for the first half of 2008, 74.5% higher when compared to the first half of 2007. Revenue from sales rose by 59%, to $56.89 billion in the first half of 2008.

The increase in net income was due to favorable market conditions, high refinery margin, and increase in refinery throughputs as well as due to effective cost control. Exports of petroleum products reached 12.9 million tons in the first half of 2008 representing an increase of 6.3% year-on-year due to the increase in refinery throughputs.

Crude oil exports in the corresponding period amounted to 19.2 million tons in the first six months of 2008, a decrease of 11.9% year-on-year. Net income growth was held back by appreciation of the Russian ruble against the dollar, increase in transportation tariffs and additional tax burden. The company’s tax expenses for the first half of 2008 totaled $18.9 billion, up 57% compared to the same period of the previous year.