Petron’s third quarter net profit declines by 68%
Petron Corp., the Philippines’ largest oil refiner, posted a 68% fall in its third-quarter net profit. Volatility in global markets caused the firm’s depressed margins.
Third-quarter net profit dropped to PHP500 million (US$12.1 million), from PHP1.56 billion (US$37.9 million) in the same period in 2011; however, this decline was an improvement from the loss incurred in the second quarter of PHP2.1 billion (US$50.8 million). Petron’s Malaysian business, which was consolidated in the second quarter, contributed PHP155 million (US$3.7 million) to the company’s net profit in the third quarter.
The 5% increase in revenues during the first nine months of 2012 of PHP212.4 billion (US$5.1 billion), from PHP202 billion (US$4.9 billion) year-on-year, was due to higher sales brought about by its retail network expansion and a steady increase in domestic demand. However, net profit in the same period dropped to PHP932 million (US$22.5 million) from PHP7.6 billion (US$184.1 million) year-on-year.
Meanwhile, the first of Petron’s four units of 216-megawatt power plants are expected to start commercial operations in the first half of 2013. (November 12, 2012)