Pryce Corp. said Tuesday unaudited consolidated net income grew 7.6 percent in 2019 to P1.509 billion from P1.403 billion in 2018 on the back of a 9-percent increase in liquefied petroleum gas sales.
Pryce said in a disclosure to the stock exchange the 2019 net income was within the range of the company’s target and was achieved despite the expiration on Dec. 31, 2018 of the income tax holidays enjoyed by the company’s San Fabian, Pangasinan import terminal since 2014.
“The company is optimistic about its prospects for 2020 on account of strong household incomes given steady OFW remittances and new job opportunities in a growing economy. This is a welcome environment for our company’s expansion projects. This will be complemented by vigorous marketing and sales efforts in order to widen the scope of our market and bring our LPG products closer to the consumers,” Pryce said.
The company said revenues increased 3.5 percent last year to P10.632 billion from P10.273 billion in 2018. LPG, cylinders and accessories and LPG gensets accounted for 94 percent of total revenues. The remaining revenues came from the sales of industrial gases, real estate and pharmaceutical products.
“The modest revenue growth is largely explained by the lower average international LPG contract price of $439.5 per MT during the year,” the company said.
The contract for LPG averaged $540 per MT in 2018, higher by $100.5 per MT over 2019.
LPG sales volume grew 9.1 percent to 220,193 metric tons from 201,826 MT in 2018.
Pryce said Luzon operations achieved a 9.69-percent growth in sales volume, compared to the 8.35-percent increase in the combined sales performance of the operations in the Visayas and Mindanao.
Energy Department showed that the combined demand for LPG of Luzon and the National Capital Region comprised about 79 percent of the country’s total demand.