Rosneft, Russia’s largest oil producer, said its net income plummeted by 73 percent in 2025.
Rosneft said its income declined to 293 billion rubles ($3.6 billion) due to high interest rates, a high profit tax and “one-off factors,” according to Reuters.
Rosneft CEO Igor Sechin attributed the drop to an “ideal storm” of domestic and external impacts, the outlet said.
Rosneft facilities have been repeatedly targeted by Kyiv during Russia’s war in Ukraine, including a December 2025 strike on one of its largest national sites in the Samara region and regular attacks on facilities in Ryazan.
The EU stepped up pressure on Rosneft in July 2025 by sanctioning an Indian refinery partly owned by the company, while the US sanctioned Rosneft and Lukoil in October – later easing some measures in March this year amid the war in Iran.
Sechin added that the recent price hike – spurred by the US war in Iran and Tehran’s subsequent blockade of the Strait of Hormuz, a key oil export route – did not bring extra income for Rosneft, as it was offset by skyrocketing costs, including freight rates and insurance.
Sechin said that in March, freight rates for shipping Russian oil from Baltic ports to India exceeded $20 per barrel – about 10 times the cost of sending it to Europe compared to early 2022.
Russia’s Baltic ports have been pounded by Ukrainian drones in recent weeks, with Ust-Luga terminals hit by at least four strikes in a single week – a rare tempo in the war in Ukraine.