Shell reports steep H1 earnings drop

Oil giant Shell Pilipinas Corp. saw a steep drop in first semester earnings to P123 million from P7.8 billion in the same period last year as volatile fuel prices and high interest rates hounded the industry.

This was despite Shell’s “remarkable” marketing delivery, it said in a statement over the weekend.

Its total marketing volume grew by 9 percent as premium products increased across key sectors, while nonfuel retail (NFR) posted a double-digit growth of 14 percent, surpassing its prepandemic results in 2019.

Shell remained optimistic amid the decline in earnings and emphasized that it had recovered from a P300-million net loss in January to March this year.

“We have built momentum and we will finish strong in 2023 with exceptional customer experience and continued innovation in serving our growing customer base with world-class Shell products and services,” Shell president and chief executive officer Lorelie Quiambao-Osial said.

The company’s total volume delivery under its mobility business rose by 9 percent, citing high penetration of premium fuel, lubricants and bitumen products.

At the same time, seven new sites were opened in the second quarter, increasing Shell’s total new mobility destination sites this year to 14, which it said contributed to the 14-percent growth of its NFR business.

Its commercial business-to-business sectors likewise saw a 10-percent increase in sales as aviation volume surged. INQ