Petron Corp. said Tuesday consolidated net income jumped 73 percent in 2016 to P10.8 billion from P6.3 billion in 2015, on the back of record-high sales volume.
“We exceeded expectations in 2016 and are well-poised to sustain our growth momentum this year with our continued focus on profitable market leadership, optimal product yields from our refinery, and further synergies internally and with other San Miguel companies,” Petron president and chief executive officer Ramon Ang said.
Petron said in a statement the 2016 robust performance was driven by record sales volume, operational efficiency with increased crude run at higher product yields and effective risk management.
Combined sales from Petron’s Philippine and Malaysian operations hit a record 104.3 million barrels in 2016, up by 6 percent from 98 million barrels sold in 2015.
Petron said both markets saw solid growth across key segments including reseller, industrial, LPG and lubricants, with nearly all sectors experiencing double-digit growth.
Petron’s domestic sales volume grew 10 percent to a record 48.2 million barrels in 2016, better than the Philippine demand growth of 8.8 percent, based on latest data from the Energy Department.
Petron is also pursuing a retail network expansion program that enables the company to channel increased production from its refinery to its service stations. There are nearly 2,300 Petron stations nationwide. There is a similar program in Malaysia targeting underserved markets.
“With the expected rise in vehicle sales, the influx of tourists, and more manufacturers setting up shop in the country, we are confident that we will be able to capture this growth since we are backed by the most extensive distribution and retail value chain in the country,” Ang said.
Sales of high-value products such as gasoline, diesel and Jet A-1/kerosene increased 6.2 million barrels, or equivalent to a growth of 14 percent, cementing Petron’s overall market leadership.
Sales volume of Petron’s Malaysia operations grew 8 percent last year, fueled by strong sales in both the retail and commercial sectors.
Petron said the launch of innovative fuels such as Blaze 100 Euro 4M and the Turbo Diesel Euro 5 helped drive volume at Petron stations.