Petron profit dips on lower crude prices
Oil refining giant Petron Corp. incurred massive losses in the last two months of 2018, pulling net income down by half amid the continued slump of global crude prices.
Net income fell to P7.1 billion as it booked inventory losses of P10 billion.
Operating income fell 32 percent to P18.9 billion. Excluding the one-time item, Petron’s profit would have gone up 21 percent to P17 billion.
Consolidated sales expanded by 28 percent to P557.4 billion as aggregate sales volume slightly rose to 108.5 million barrels from 107.8 million barrels in 2017.
Strong local sales of gasoline, Jet-A1 and LPG, along with improved operating efficiency, boosted sales.
Petron retained its leadership in the retail, industrial, and LPG trades, cornering majority of the market.
Last year, Petron’s 180,000 barrel-per-day oil refinery in Bataan hit an annual utilization rate of 95%, its highest on record, as it further increased its production of high-value fuels and petrochemicals.
Petron is the Philippines’ largest refiner, providing nearly 40% of the country’s fuel requirements through its Bataan refinery, 30 terminals, and over 2,400 service stations nationwide.