Petron bounces back from Net Loss in 2020 with Net Income over P6 Billion

The Philippines’ largest oil firm, Petron Corp. registered a net income of P6.14 billion in 2021, whereas in 2020 the company reported a P11.4 billion net loss. 

Petron stated that it sold over 80 million barrels during 2021, a 5% growth made possible as COVID restrictions ease and economic activities restart. Additionally, local lubricant sales recorded their highest growth at 11%. This highlights the strong performance and presence of its locally produced engine oils and other lubricant products.

Although granular lockdowns were implemented in 2021, retail volumes increased by 6.4%, Petron attributes the growth to its volume-generating programs. They also report that industrial sales rose 2% as travel restrictions lightened and more industries reopened.

The company’s consolidated revenues for 2021 reached P438.06 billion, up 53% from 2020. According to Petron, the increased revenues were mainly driven by hikes in international prices and higher local demand. They noted that Dubai’s crude oil prices breached $80 per barrel in the fourth quarter of 2020. 

“To say that we’ve come a long way since the start of this pandemic would be an understatement. We have recovered significant volumes in key market segments, and more importantly, we have returned profitability to our business. This allowed us to follow through on our expansion programs, bring our products and services to more consumers, and contribute to our country’s progress,” Petron President and CEO Ramon Ang said in a statement.

Petron noted that its Bataan refinery benefitted greatly from the tax exemptions for local refineries under Republic Act 11534, otherwise known as the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Law.

Source: PowerPhilippines