Petron reports 51% jump in 2023 earnings

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The earnings of Petron Corp. jumped by 51 percent to P10.1 billion in 2023 from P6.7 billion in 2022, fueled by its wide presence and effective volume-generations strategies in the Philippines and Malaysia.

The country's biggest oil refining and marketing company reported a 13 percent increase in combined sales volume in the Philippines and Malaysia to 126.9 million barrels from 112.8 million barrels.

Petron's sales volume in the Philippines went up by 16 percent 79.5 million barrels in 2023 from 68.5 million barrels in 2022, fortifying its leadership in the retail, industrial and LPG markets.

'Our strategy to capture the economic resurgence and minimize external pressures played a key role to success. While challenges remained, our company managed to deliver significant improvements in high-demand sectors,' Petron president and CEO Ramon S. Ang said.

'We are committed to strengthen these efforts, among other initiatives that will not solidify our recovery but will also take us further ahead in nation-building,' Ang added.

The strong volume performance in 2023 was driven by the significant growth in its jet fuel and LPG sales backed by higher production at its Bataan and Port Dickson refineries.

Its jet fuel business dominated the market with an 80 percent share after soaring by more than 50 percent in 2023, boosting Petron's local industrial sales.

Likewise, domestic LPG sales went up by 26 percent amid the strength of Petron Gasul and Fiesta Gas.

Petron reported a 60 percent surge in operating income to P30.7 billion in 2023 from P19.2 billion in 2022.

Despite the higher sales volume, Petron's total revenue slipped by seven percent to P801 billion from P857.6 billion.

According to Petron, the upswing in the financial results came at a time of persistent geopolitical conflicts and global inflationary concerns pressuring the market.

'We look back at 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,' Ang said.