Austria’s state-backed OMV AG has announced a review “to streamline operations and portfolio” that could include a potential workforce downsizing at home in favor of automation.
Negotiations are ongoing with employee representatives about “a potential labor impact in Austria, which is currently estimated to be in the region of mid three-digits”, the oil and gas company said in a statement on its website.
“Further details will be announced in due time”, the statement added.
OMV said the review could lead to EUR 400 million ($470.61 million) in cost savings by 2027, “contributing positively to the delivery of the EUR 500 million operating cashflow improvement” that the company set last year, according to the statement.
“Future-proofing our business and strengthening our competitiveness are key to continuing to seamlessly serve all our customers and stakeholders”, said chair and chief executive Alfred Stern. “Amid a challenging market and volatile geopolitical environment, we are setting us up for long-term resilience and successfully delivering on our strategy.
“In this context, the executive board of OMV Group has initiated a comprehensive review of our portfolio, strategic priority areas and efficiency measures across the entire Group, resulting in a combination of future-oriented measures”.
OMV said, “The subject efficiency improvement program is set to take a holistic view on all ongoing efficiency initiatives within the OMV Group, with their respective focus areas and varying timelines”.
“One of the key principles is to future-proof its business, by increasing the focus and prioritizing business activities on value-adding areas for investment”, OMV said.
“Secondly, this initiative focuses on developing simplified processes to increase the agility and flexibility of the organization. This shall include, for example, increased standardization of activities and additional deployment of technologies, such as AI, digital tools and automation”.
“With a view to achieve higher simplification and standardization of recurring activities, the planned strengthening of a GBS [Global Business Services] organization shall represent a key lever in achieving its efficiency ambitions”, OMV added.
“It is also set to provide enhanced access to talent as well as rapid scalability via global resourcing possibilities.
“This long-term oriented approach shall be built on an end-to-end process ownership, standardization and accelerated trajectory of digitalization of the company’s activities”.
Stern had assured in OMV’s quarterly report the company was “well-positioned to implement our Strategy 2030, despite challenging market conditions, including unfavorable commodity prices and ongoing geopolitical uncertainty”.
For the April-June quarter OMV reported a 13 percent year-on-year decline in sales revenue to EUR 5.79 billion. Net profit fell 29 percent year-over-year to EUR 392 million.
Cash flow from operating activities dropped eight percent from 2Q 2024 to EUR 1.08 billion for 2Q 2025. While free cash flow rose 196 percent, organic free cash dropped 60 percent to EUR 160 million. Organic capital expenditure increased eight percent to EUR 900 million.
OMV ended the quarter with EUR 11.57 billion in current assets including EUR 5.26 billion in cash and cash equivalents. Current liabilities totaled EUR 7.04 billion.
To contact the author, email jov.onsat@rigzone.com
What do you think? We’d love to hear from you, join the conversation on the
Rigzone Energy Network.
The Rigzone Energy Network is a new social experience created for you and all energy professionals to Speak Up about our industry, share knowledge, connect with peers and industry insiders and engage in a professional community that will empower your career in energy.
element
var scriptTag = document.createElement(‘script’);
scriptTag.src = url;
scriptTag.async = true;
scriptTag.onload = implementationCode;
scriptTag.onreadystatechange = implementationCode;
location.appendChild(scriptTag);
};
var div = document.getElementById(‘rigzonelogo’);
div.innerHTML += ” +
‘
‘ +
”;
var initJobSearch = function () {
//console.log(“call back”);
}
var addMetaPixel = function () {
if (-1 > -1 || -1 > -1) {
/*Meta Pixel Code*/
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1517407191885185’);
fbq(‘track’, ‘PageView’);
/*End Meta Pixel Code*/
} else if (0 > -1 && 80 > -1)
{
/*Meta Pixel Code*/
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1517407191885185’);
fbq(‘track’, ‘PageView’);
/*End Meta Pixel Code*/
}
}
// function gtmFunctionForLayout()
// {
//loadJS(“https://www.googletagmanager.com/gtag/js?id=G-K6ZDLWV6VX”, initJobSearch, document.body);
//}
// window.onload = (e => {
// setTimeout(
// function () {
// document.addEventListener(“DOMContentLoaded”, function () {
// // Select all anchor elements with class ‘ui-tabs-anchor’
// const anchors = document.querySelectorAll(‘a .ui-tabs-anchor’);
// // Loop through each anchor and remove the role attribute if it is set to “presentation”
// anchors.forEach(anchor => {
// if (anchor.getAttribute(‘role’) === ‘presentation’) {
// anchor.removeAttribute(‘role’);
// }
// });
// });
// }
// , 200);
//});
