Pryce Corp., a distributor of liquefied petroleum gas and a property holding company, expects consolidated net income to have reached P1.4 billion to P1.45 billion in 2018, or on track of the profit target.
“Pryce Corporation estimates consolidated net income of P1.4 to 1.45 billion for 2018,” Pryce chairman Salvador™ Escaño said.
Pryce earlier a net income target of P1.5 billion or less in 2018, buoyed by the anticipated higher sales volume and income during the fourth quarter.
The company, meanwhile, vowed to continue its expansions across the country in terms of putting up more refilling plants and sales centers, especially in Luzon.
“Expansions of the storage capacities of its existing LPG import marine terminals in Zamboanga City, Iloilo, and Negros Oriental, which began in early 2018, will be completed in 2019,” Escaño said.
He said Pryce would start building its ninth import marine terminal in Bohol by the second quarter of 2019, .
Pryce directly imports liquefied petroleum gas products that are received by storage tanks in its eight import terminals in Luzon, Visayas and Mindanao.
LPG is transported from these terminals via lorries (trucks specifically for LPG transport) to Pryce’s refilling plants. The refilling of LPG in individual containers (actually steel cylinders) is done in both the import terminals and refilling plants.
The LPG cylinders are then distributed to sales centers and dealers that directly sell them to households and industrial and commercial end-users.
Pryce posted a consolidated net income of P1.11 billion in the first nine months of 2018, up 18 percent from P943.07 million year-on-year.
Pryce attributed the higher income to the group’s revenues of P7.57 billion in the third quarter last year from P6.44 billion a year ago.
Ninety-two percent of the group’s consolidated revenues in the first nine months was derived from the sale of liquefied petroleum gas, while the balance was obtained from sales of industrial gases, real estate and pharmaceutical products.
“The company’s ongoing expansion projects in its marine-fed terminals and construction of additional refilling plants are seen to foster demand in various regions towards the close of this year and beyond,” the company said earlier.