Petron rides postpandemic rebound; Q1 profit up 16%

MANILA, Philippines — A double-digit growth in local and international sales fueled the bottom line of oil giant Petron Corp. in the first three months of this year.

Petron said in a disclosure that its net income had totaled P3.93 billion in the first quarter, up 16 percent from P3.4 billion in the same period a year prior.

“We are pleased to start the new year on a strong note, and we hope to sustain this momentum as we work toward new goals this 2024,” Petron president and CEO Ramon Ang said.

Both revenues and operating income improved by 21 percent to P227.64 billion and P10.17 billion, respectively.

The listed company gained at a time when the escalating geopolitical conflicts in the Middle East continue to affect the global oil market.

READ: Petron’s profit vaulted 51% to P10.1 B in 2023

Philippine and overseas sales volume stood at 35.29 million barrels, representing a growth of 23 percent, bolstered by higher production at its refinery in Bataan province and Port Dickson in Malaysia.

Retail sales climbed by 11 percent on the back of sustained market recovery and strong retail push while commercial volumes likewise rose by 11 percent due to a “substantial” jump in jet fuel and liquefied petroleum gas sales.

“Export volumes also grew considerably by over 90 percent from the additional export volumes resulting from higher refinery production,” Petron said.

Petron said sales volume under Philippine operations and its subsidiary in Singapore had climbed by 28 percent to 22.72 million.

Benchmark Dubai crude averaged $84 per barrel in March, an increase of 9 percent. But Petron noted that first-quarter prices “remained almost flat compared to the same period last year.”

“We have been strengthening our recovery and growth following the pandemic, thanks to our efficiency measures, volume strategy, and sustainability agenda,” Ang said.

Petron—which supplies around 40 percent of the total fuel requirements nationwide through the refinery in Limay town in Bataan—said it is keen on strengthening its programs on carbon sequestration, energy efficiency, water conservation, and waste management. INQ