Petron books P4.99-billion profit in Jan.-Sept. as revenues improve

PETRON CORP. booked a P4.99-billion consolidated net income in the first nine months of the year, recovering from its P12.6-billion net loss in the same period in 2020 as its sales improved and as it reduced its costs.

“Efforts to reduce costs and yield more savings contributed to Petron’s continued financial recovery,” the company said in a disclosure to the stock exchange on Tuesday.

Petron said its performance improved as “its volume and revenues remained on the uptrend in the second and third quarters of the year despite the reimposition of mobility restrictions.”

“Despite external challenges, sustaining the financial resilience of the company has helped ensure that we have the means and the capacity to continue growing the business while providing our investors with the best returns. These include strategic investments in our service station expansion, refinery enhancements, and supply chain management. We are looking forward to ending 2021 in a much stronger and stable position than last year,” Petron President and Chief Executive Officer Ramon S. Ang said.

The company said its consolidated sales of 59.2 million barrels of oil from January to September was close to last year’s level of 59.5 million barrels.

Its sales of lubricants also grew by 28% for the third quarter, while its retail station volume increased by 9% and its petrochemical exports grew by 68% compared to last year.

Petron’s consolidated revenues from its operations in the Philippines and in Malaysia also rose by 35% to P291.57 billion from P216.43 billion last year as the global prices of oil continue to spike with Dubai’s crude oil breaching $75 per barrel.

In October, Petron listed P18 billion in fixed-rate bonds on the Philippine Dealing and Exchange Corp. Proceeds from the issuance will be used to refinance the company’s debts and to fund the construction of its new power plant in Bataan, which is expected to be operational starting next year.

Petron shares inched down 1.57% or six centavos to finish at P3.77 apiece on Tuesday. — B.A.D. Anago