Pilipinas Shell Petroleum Corp.’s (PSPC) net income ballooned to P7.8 billion in the first half as against P2.2 billion a year ago, as fuel prices soared during the period.
“Through the disciplined and resilient implementation of our strategy, we have recovered from the deficit in retained earnings in the past two years and are now able to deliver dividends to our shareholders,” said PSPC President Lorelie Quiambao-Osial.
“This reflects our strong culture of sustained performance even in the midst of a prolonged volatile business environment. We are confident to continue our momentum, deliver shareholder returns, and power progress for the Philippines.”
The oil firm declare dividend of P1/share payable this September.
It reported that global product prices reached historical highs this year versus the start of the year. This, it said, resulted in an increase in working capital requirements. Despite this, the oil firm’s strong fiscal management allowed it to maintain a controlled level of borrowings. Excluding movement in working capital, PSPC ended with a positive cash flow from operations of P13.7billion—an upside from the previous year’s P7.6 billion.
The oil firm reported sustained volume delivery. Aviation sales improved with an 49-percent increase versus the previous year, driven by the continued increase in travel and opening of international and domestic borders. Commercial fuels increased volume sales by 5 percent. Also, lubricants saw a 5-percent volume increase.
PSPC said it will put up 1,300 – 1,400 mobility sites by 2025 from the existing 1,100 sites nationwide.
The non-fuel retail (NFR) business posted a 24-percent increase in profitability in the first half, with continued double-digit growth across all its segments. To date, the NFR network grew to 198 Shell Select stores, 223 Select Express, 81 Deli2Gos, and 462 Lube bays.