Industry leader Petron Corporation maintained its strong financial performance in the first nine months of the year, reporting a consolidated net income of P8.2 billion, up 64% from last year’s P4.99 billion.
Combined sales volume from Petron’s Philippines and Malaysian operations as well as the Group’s Singapore trading subsidiary grew 37% to 80.4 million barrels from 58.8 million barrels in the same period of 2021, reflecting higher fuel demand. In the Philippines, total sales volume jumped by nearly 30%.
The average price per barrel of Dubai crude dipped by $11 per barrel to US$96.88 in the third quarter due to recession fears. Despite the correction in the third quarter, prices of finished fuel products remained elevated compared to last year. With the volume increase, Petron reported consolidated revenues of P631.1 billion in the first nine months, more than double that of last year’s P291.6 billion.
The demand recovery in most economies supported the continued strength of regional refining cracks resulting in the overall improvement in margins. Petron’s operating income stood strong at P16.5 billion, 23% more than 2021’s P13.4 billion. These improvements, however, were tempered by the increase in financing cost due to the unprecedented strengthening of US dollars against the peso and the successive hikes in interest rates.
“Despite uncertainties from geopolitical conflicts affecting the industry, we are pleased to note that our recovery is still on track. We are working hard so we can end the year strong and remain committed to providing consumers and industries with quality fuel products they need,” said Petron President and CEO Ramon S. Ang.
Petron is the Philippines’ largest oil company, operating the only remaining refinery that is capable of providing nearly 40% of the country’s petroleum requirements. Petron operates a 180,000-barrel-per-day refinery in Bataan, 30 terminals, and over 2,000 service stations nationwide.
Petron has recently obtained the go-signal from its shareholders to allow the company to construct and operate a coco-methyl ester plant and to secure relevant permits.
Petron also acquired a PME (palm methyl ester) plant in Malaysia to serve as an internal source for its biodiesel products. Earlier this year, the plant has undergone capacity expansion to support the higher demand for biodiesel in the country.
About Petron Corporation
Petron Corporation is the largest oil refining and marketing company in the Philippines and is a leading player in the Malaysian market. It has a combined refining capacity of 268,000 barrels per day and produces a full range of world-class fuels and petrochemicals. It operates about 50 terminals in the region and has around 2,700 service stations where it retails world-class gasoline and diesel. Petron is dedicated and passionate about its vision to be the leading provider of total customer solutions in the energy sector and its derivative businesses. Please visit us at www.petron.com for more information.