Petron : reports P9.5 billion net income in first nine months buoyed by steady volume growth

Oil industry leader Petron Corporation sustained its volume growth in the first nine months of the year, reporting a consolidated sales volume of 93.6 million barrels, up 16% from the 80.4 million barrels sold in the same period last year. Volume improvements were noted across major business segments, attesting to Petron's continued market leadership and competitiveness.

For retail, consolidated sales volumes from the Philippines and Malaysia posted an 8% improvement, fueled by higher demand for Petron's gasoline and diesel products. Owing to its dominance in the aviation sector, the company's commercial volumes jumped 12% as it locked in new sales agreements while renewing ties with major airlines and flag carriers throughout the period.

In the Philippines, the country's largest oil company grew its sales volume by 20% to 42.7 million barrels, from 35.5 million barrels in January to September of last year. This is supported by the latest figures from the Department of Energy (DOE) covering the first half of the year, which demonstrate Petron's overall lead in the domestic market as well as its lead in the LPG sector. An independent survey by international brand research firm Standard Insights further affirmed Petron's market leadership with Petron besting other oil and gas players across all indicators.

Consolidated revenues for the first nine months stood at P587.3 billion albeit lower than the previous year's P631.1 billion as prices corrected from their extraordinarily elevated levels last year due to the Russia-Ukraine conflict. While international prices started to rise again in the third quarter, the YTD September average of benchmark Dubai crude closed at almost $82 per barrel, still down 18 % from the same period in 2022.

Despite recording lower revenues, the Group's operating income rose by 64%, reaching P27 billion from 2022's P16.5 billion driven largely by the strong volume growth. This improvement allowed the company to absorb the more than 50% increase in financing cost, ending the nine-month period with a consolidated net income of P9.5 billion, 16% higher than last year's P8.2 billion.

"We are seeing consistent growth in all areas of our business. Our wide reach, superior product quality, and reliable service have allowed us to sustain our good performance throughout the year, and maintain or even strengthen our market share in high-demand sectors," said Petron President and CEO Ramon S. Ang.

The company marked its 90^th anniversary in September. Petron kicked off its celebration with a planting activity at a 20-hectare mangrove site in Davao del Sur, which it will reforest and rehabilitate in the next five years. Petron will measure and monitor the carbon capture generated through the adopted site, among other sustainability programs in the pipeline.

"For nine decades, we have been more than just a brand," said Ang. "We have been a companion on countless journeys, big and small. From powering industries to supporting the daily needs of our kababayan, Petron has always been there. We have stood strong as the industry leader, creating opportunities for success defined by our value of malasakit."