For the first three months of 2025, both oil and gas MOL and banking giant OTP recorded significant results, reports Mandiner.
MOL increased its first-quarter operating profit from HUF 151 billion ($420 million) last year to HUF 185.8 billion ($483 million) this year, according to a report published on the Budapest Stock Exchange (BSE) website on Friday.
The group’s net sales also increased in the first three months of this year, from HUF 2.05 trillion to HUF 2.17 trillion on a year-over-year basis. EBITDA (earnings before interest, taxes, depreciation, and amortization) increased from HUF 257.7 billion ($718 million) to HUF 318.8 billion ($833 million), and the net profit increased from HUF 95.9 billion ($265 million) to HUF 152.3 billion ($393 million).
Given the improvement in industry conditions, the results were in line with analyst expectations, reports the portal.
OTP Bank exceeded average expectations in the first quarter and achieved a consolidated adjusted after-tax profit of HUF 188.58 billion, 21 percent lower than the same period of the previous year. According to the consensus of results compiled by OTP, analysts expected an average profit of HUF 183.6 billion for January-March 2025.
Most of the bank’s geographical segments generated profits in January-March, with foreign operations contributing 110 percent to profit. Operating profit increased by 22 percent year-over-year to HUF 408.070 billion in the first quarter.
In other news, the government’s measures to combat inflation are finally paying off, with certain food prices seeing declines in April, the Central Statistical Office reported.
For the month, consumer prices were 4.2 percent higher on average than a year earlier, while month-over-month, prices increased by 0.2 percent on average.
On an annual basis, food prices increased by 5.4 percent, including eggs by 26.9, flour by 23.7, cooking oil by 23.4, chocolate and cocoa by 20.0, coffee by 19.8, fruit and vegetable juices by 14.5, snack foods by 9.8, non-alcoholic soft drinks by 8.2, milk by 7.5, and bread by 6.8 percent.
There were, however, a few bright spots within the product group. The price of margarine decreased by 29.2 percent, dairy products by 7.5 percent, and sausages by 6.4 percent.
The data was better when compared to March. Here, overall food prices decreased by 1.3 percent. Within this, margarine cost 23.6 percent less, dairy products 13.4 percent, flour 12.5 percent, butter and buttercream 8.7 percent, milk 8.6 percent, cooking oil 6.1 percent, sausages 5.9 percent, cheese 5.4 percent, poultry 5.0 percent, sugar 4.3 percent, and pork 4.1 percent less.
However, chocolate and cocoa increased in price by 3.3 percent. Household energy increased in price by the highest degree, by 3.8 percent. Clothing items increased in price by an average of 2.1 percent, spirits and tobacco by 1.3 percent in one month, within the latter, tobacco by 2.4 percent.
Meanwhile, inflation continued to creep higher in services, up 7 percent year-over-year, including postal services by 11.3 percent, rent by 11.0 percent, vehicle repair and maintenance by 10.5 percent, personal care services by 10.1 percent, home repair and maintenance by 9.8 percent, and holiday services by 8.4 percent.
The price of alcoholic beverages and tobacco products increased by 6.3 percent, and household energy costs increased by 3.5 percent on average.
Durable consumer goods increased by 2.0 percent, and pharmaceuticals and medical supplies increased by 4.9 percent. In another positive trend, the price of vehicle fuels decreased by 7.1 percent.
Compared to March, services increased in price by 0.8 percent, including domestic holidays by 4.7 percent, foreign holidays by 1.4 percent, and vehicle repair and maintenance by 1.0 percent. The price of vehicle fuels decreased by 1.4 percent, and the price of medicines and medical supplies increased by 3.1 percent, the Central Statistical Office reported.
The government is extending the mark-up freeze to drugstores, meaning that the prices of more than 1,000 new products could drop significantly from the second half of May. The measure will be implemented from May 19 to August 31 for drugstores that sell more than 40 percent of household goods, covering a total of 30 product categories and applying to products where a significant margin of more than 30 percent can be identified.
Hungary hopes to keep inflation in a range of 3 to 4 percent and to reduce food inflation to a level below 5 percent.
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