Oil refiner Petron Corp. said Tuesday it posted a consolidated net income of P10.1 billion last year, or 51 percent higher than the P6.7 billion reported in 2022 on the back of a 13-percent increase in sales.
The company said in a statement it delivered a combined sales volume of 126.9 million barrels, up from 112.8 million barrels sold in 2022, fueled by its wide presence and effective volume-generation strategies in the Philippines and Malaysia.
It said the significant growth in its jet fuel and liquefied petroleum gas (LPG) sales backed by higher production at its Bataan and Port Dickson refineries drove the group’s strong volume performance.
“Our strategy to capture the economic resurgence and minimize external pressures played a key role to our success. While challenges remained, our company managed to deliver significant improvements in high-demand sectors. We are committed to strengthen these efforts, among other initiatives that will not only solidify our recovery but will also take us further ahead in nation-building,” Petron president and chief executive Ramon Ang said.
Petron sold 79.5 million barrels under its Philippine operations in 2023, higher than 2022’s 68.5 million barrels.
The company fortified its leadership in the retail, industrial and LPG markets supported by the sustained economic recovery and Petron’s effective marketing strategies.
It noted the more than 50-percent growth in jet fuel which cornered about 80 percent of the market in 2023.
Domestic LPG sales rose 26 percent year-on-year on the strength of Petron’s LPG brands, Petron Gasul and Fiesta Gas.
Petron said sales went up by 15 percent despite the highly-saturated and price-driven retail sector, resulting from the company’s efforts to increase the competitiveness and productivity of its service station network, which remains the widest in the country.
Petron grew its overall market share to 24.5 percent in the first half of 2023, according to the latest available data from the Department of Energy (DOE).
“We look back on 2023 with pride as we celebrated our 90th year. We made much progress in the things we sought to accomplish like our financial recovery and further expansion. Looking ahead, we are inspired to be more responsible, accountable, and sustainable as we continue to grow our business,” said Ang.
Meanwhile, Petron recorded lower revenues settling at P801 billion, slipping by 7 percent from the previous year’s P857.6 billion, despite higher sales volume, as prices continued to correct from their record-high levels in 2022.
The full-year average price of benchmark Dubai crude stood at $82 per barrel in 2023, down 15 percent from $96 in 2022.
Petron’s continuing efforts to capture the continued demand recovery, optimize assets and resources and respond to market volatility resulted in a 60-percent improvement in its operating income, which reached P30.7 billion coming from last year’s P19.2 billion.