Pryce income grew 22% in H1 to P711.9M

Pryce Corp. saw its consolidated net income rev up 22 percent to P711.9 million in first half of 2018 from P581.9 million in the same period last year, mainly on strong sales of cooking gas and real estate assets.

Pryce said in a statement that such growth rode on its gross revenue jumping by 14.2 percent to P4.83 billion, from last year’s P4.23 billion.

In the first half, Pryce sold 7 percent more liquefied petroleum gas (LPG) with the volume reaching 97,590 metric tons (MT) this year from 91,243 MT last year.

The company said growth in LPG sales volume was pegged at a combined 13.5 percent in the Visayas and Mindanao regions, and 2.4 percent in Luzon.

“The growth in sales volume was achieved despite the rising LPG prices mainly because of the growing demand in fuel for household cooking,” Pryce said.

Pryce said average LPG contract prices increased by about 8 percent to $515 per metric ton from last year’s $477 per MT.

Also, the company saw a 167-percent surge in revenues from the sale of real estate, particularly the office condominium units of Pryce Tower in Davao City.

Further Pryce’s industrial gas business saw a 10-percent rise while its pharmaceutical products business registered a 47-percent growth.

“The ongoing expansion projects on (our) marine-fed terminals and refilling plants nationwide is expected to encourage growth in LPG sales volume in the second half of the year as the LPG product becomes available over a wider area and brought even closer to the market dealers and consumers,” the company said.

“All things considered, (Pryce) remains positive that it will achieve a 15-percent increase in LPG sales volume in the all-important (Visayas and Mindanao) areas and consequently earn a projected net income of (about) P1.5 billion…for the year 2018,” it added.