Industry leader Petron Corp. reported a 64-percent increase in nine-month net income to P8.2 billion from P4.99 billion in the same period last year on higher sales.
Combined sales volume from Petron’s Philippine and Malaysian operations and the group’s Singapore trading subsidiary grew 37 percent to 80.4 million barrels from 58.8 million barrels in the same period of 2021, reflecting higher fuel demand.
Total sales volume in the Philippines jumped by nearly 30 percent.
“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 quality fuel products they need,” said Petron president and chief executive Ramon Ang.
Petron said the average price per barrel of Dubai crude dipped by $11 per barrel to $96.88 in the third quarter on recession fears.
Prices of finished fuel products remained elevated compared to last year despite the correction in the third quarter.
Petron reported consolidated revenues of P631.1 billion in the first nine months were more than double that of last year’s P291.6 billion amid the volume increase.
It said the demand recovery in most economies supported the continued strength of regional refining cracks or the difference between crude and refined petroleum products, resulting in the overall improvement in margins.
Petron’s operating income reached P16.5 billion, or 23 percent more than 2021’s P13.4 billion.
The increase in financing cost due to the strengthening of US dollar against the peso and the successive hikes in interest rates tempered the impact of higher operating income.
Petron is the Philippines’ largest oil company, operating the only remaining refinery that is capable of providing nearly 40 percent of the country’s petroleum requirements.
The company operates a 180,000-barrel-per-day refinery in Bataan, 30 terminals and over 2,000 service stations nationwide.
Petron recently obtained the go-signal from shareholders to construct and operate a coco-methyl ester plant.
It acquired a palm methyl ester plant in Malaysia to serve as an internal source for biodiesel products.
The plant undertook capacity expansion to support higher demand for biodiesel in the country early this year.