Brazilian state-run oil giant Petrobras posted substantial first quarter earnings on Tuesday, pointing to a solid recovery after four years of steady losses. The company posted first-quarter 2018 net profits of R$6.96 billion, reversing a fourth-quarter loss of more than R$5 billion. The figure marked the company’s best first quarter since 2013. Petrobras lost money in every calendar year from 2014 through 2017. Net losses last year were R$14.8 billion. The company has been losing money because of a write-down on assets due to a sweeping corruption scandal. Since 2016, however, the company has pursued a policy of selling assets, streamlining administration and improving corporate governance. First-quarter profits came on higher international oil prices and continued sale of assets. Asset sales, in turn, have helped the company reduce gross debt and debt-service costs.
Link to government news agency releaseMore Testimonials