Shell Pilipinas Corp. said Tuesday its net profit declined 53.4 percent in the first nine months to P2.054 billion from P4.406 billion in the same period last year on lower petroleum sales.
Net sales declined by about 10.8 percent from P213.252 billion to P190.264 billion as a result of lower pump prices brought on by a general decline in oil prices globally, it said.
Shell Pilipinas, however, posted a turnaround in the third quarter with a net income of P1.93 billion, after suffering a net loss of P3.358 billion in the same period last year.
The company said it sustained overall volume growth, increase in premium product penetration and reverse inventory loss.
“We are excited about the growth of our non-fuels retail business, helping to increase foot traffic and diversify our portfolio. This growth is driven by our strong brand recognition, our convenient locations, our innovative product offerings for fuel and non-fuel retail customers, and of course, our retailers and forecourt service champions,” Shell Pilipinas president and chief executive Lorelie Quiambao-Osial said.
Shell Pilipinas delivered 30 new mobility sites in the third quarter, combined with targeted mobility-related activities, driving growth across various sectors of the business.
Fuel volume was up by 7 percent, credited to successful marketing promotions and loyalty offers facilitated through the Shell Go+ app.
The company recently launched Shell Fleet App, a digital solution that addresses the needs of small and medium entities and streamline the fleet card application process while offering a transition to cashless fuel management system.
Non-fuel retail delivered double-digit growth of 14 percent. It said the introduction of new Shell Café branches and the expansion of Shell Select stores, Select Express, Deli2Gos and Shell Helix Oil Change Centers nationwide contributed to this growth.
Shell Pilipinas is preparing to open an import terminal with a capacity of 60 million liters in Cebu that solidifies its commitment to provide more and cleaner energy solutions.
The terminal will cater to the mobility stations and nearby areas, enhancing the delivery capabilities of both mobility and commercial businesses.
Shell Pilipinas allotted a budget of about P5 to P6 billion for 2023 capital expenditures, subject to additional spend deemed necessary in order to accelerate growth and enhance supply chain operations.
Bulk of the capital expenditures was spent for new mobility stations and growth projects, and the improvement of existing supply and distribution facilities.
“We are committed to leveraging our expertise and resources to drive positive change and contribute to a more sustainable future for the Filipino people. We will continue to invest in our supply chain, innovate and expand our product offerings, and partner with stakeholders to move the Philippines forward,” Quiambao-Osial said.