Galp Q4 profit up 10 pct, beats expectations

LISBON Mon Feb 11, 2013 2:07am EST

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LISBON Feb 11 (Reuters) - Portuguese fuel and oil company Galp Energia posted on Monday a sharper-than-expected 10 percent increase in quarterly net profit thanks to higher oil output in Brazil and a rise in refining margins that offset weak domestic sales.

Galp said in a statement the profit, adjusted to reflect changes in the company's stocks of crude, totalled 83 million euros ($111 million) in the fourth quarter of 2012.

Adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) rose 10 percent to 229 million euros.

Analysts polled by Reuters had forecast, on average, an adjusted net profit of 76 million euros and EBITDA of 235 million euros.

The company had earlier announced that fourth-quarter sales of refined products slipped 1 percent from a year earlier to 4.2 million tonnes even as crude refining volumes rose almost 17 percent. Portugal's domestic market is suffering from the country's economic recession and austerity measures imposed amid a debt crisis.

The company, mainly a refiner, has a 10 percent interest in Brazil's giant Lula/Tupi field and is a partner in other Brazilian projects. It also operates in Angola.

($1 = 0.7474 euros) (Reporting By Andrei Khalip)