PETRON Corp. returned to profitability in the first half with a consolidated net income of P3.87 billion, reversing its net loss of P14.24 billion in the same period last year due to the pandemic.
In a statement on Tuesday, the country’s largest oil company reported consolidated revenues of P174.13 billion from its Philippine and Malaysian operations, higher by 14% compared with P152.36 billion previously despite lower sales volume.
“Though we continue to face some challenges, we have seen tremendous progress this year. The increase in demand and continued improvement in international prices indicate that we are slowly but surely regaining lost ground as an industry,” said Petron President and Chief Executive Officer Ramon S. Ang.
The company said oil prices steadily rose in the first six months, with Dubai crude averaging $72 per barrel in June, up 44% from the level in December 2020.
It added that the bullish market was “driven by the conservative stance of major oil producers in supply management, boosted by optimistic market sentiments with the global vaccination rollouts and gradual reopening of economies.”
Mr. Ang said Petron’s financial showing during the semester, “due in no small part to our recovery efforts and prudent use of resources, is proving to be a complete turnaround from last year which we hope to sustain as we continue to move past the pandemic slump.”
Overall sales volume during the period was lower by 7%, the company said, adding that the market continues to suffer from the impact of the pandemic.
It said the slowdown in sales to industrial accounts was partly offset by the retail segment’s gradual improvement.
“Local sales in the service stations climbed by about 12% while volumes for lubes significantly improved by nearly 50%, reflecting the favorable performance of Petron’s world-class products in both the Philippines and Malaysia,” the company said.
On Tuesday, Petron shares closed higher by 0.33% or a centavo to P3.08 apiece before the company reported its first-half financial performance.
