BUDAPEST, August 12, 2008 (AFP) - Hungarian oil and gas giant MOL announced Tuesday a higher-than-expected hike of 108 percent in forint terms of first half preliminary results, owing in particular to favourable exchange rates and a growing margin on diesel.

Net profits more than doubled to 179.7 billion forints (765 billion euros) against 86.4 billion a year ago, MOL said on the company's website. Expressed in dollar terms, the results grew by 136 percent to 1.082 billion dollars.

Net profit excluding special items increased by 142 percent (175 percent in dollar terms) year on year.

The results are markedly higher than results projected by analysts, who were expecting net profits of 102 billion forints (434 million euros).

In the first six months, MOL realised total sales of 1,706.6 billion forints (7.3 billion euros), which means a 52 percent increase on the same period last year.

The earnings before interest, taxes, depreciation and amortisation (EBITDA) decreased by 6 percent to 156.4 billion forints (406 billion euros) due to a modification of accountancy rules.

Besides a favourable exchange rate caused by the depreciation of the dollar, MOL explains the good results by a 53-percent increase of its operating profit excluding special items in research and production and by a 43 percent hike in refinery and trade, due mainly to a favourable tax arrangement on diesel in Hungary.