Thai Oil Plc, Thailand's largest oil refiner, said on Wednesday it had recorded a net profit of 2.94 billion baht in the third quarter due to improved income from its petrochemical businesses and gains from foreign exchange and oil hedging.
That compared with a loss of 2.29 billion baht a year earlier for Thai Oil, the flagship refining unit of PTT Plc, and an average forecast of a profit of 3 billion baht by eight analysts polled by Reuters.
The company recorded a foreign exchange gain of 519 million baht after the appreciation of the baht currency, versus a foreign exchange loss of 2.57 billion baht in the same period a year earlier.
But profit dropped 62% from the previous quarter due to weaker refining margins and the planned one-month shutdown of its lube base refinery plant.
Its refinery business posted a profit of 1.3 billion baht, from a loss of 3.34 billion baht a year earlier, while profit from its aromatic petrochemical unit surged five-fold to 889 million baht.
Analysts expect Thai Oil's earnings to pick up in the fourth quarter thanks to the better performance of its refinery and lube base oil production businesses.