Phoenix Petroleum Philippines posted a net income of P464.75 million in the first three months of 2018, up 65 percent from P282.3 million year-on-year, on higher volumes sold and the entry of new businesses.
Phoenix disclosed to the Philippine Stock Exchange on Tuesday it registered the strong financial results “despite the increase in finance costs related to new business acquisitions and aggressive network expansion, and the increase in cost of sales resulting from higher oil prices.”
Phoenix booked revenues of P18.083 billion in the first quarter, up 107 percent from P8.727 billion on year.
“Our acquisitions are starting to add value, and we are realizing the synergies across our businesses, from fuels and lubricants to LPG, trading and supply, convenience store retailing and soon, asphalt,” Phoenix president and chief executive officer Dennis Uy said.
Phoenix attributed the increase in revenues to the 66-percent growth in fuel volume sold, with major contributions from the company’s new business segments—regional trading and supply arms PNX Petroleum Singapore Pte. Ltd. and Phoenix LPG Philippines Inc.
Phoenix in 2017 acquired the local LPG business of Malaysia’s Petronas and established the Singapore trading office.
Sales volume of liquefied petroleum gas increased 11 percent on year.
Phoenix said its traditional fuels business showed strong organic growth, as the company opened more retail stations and secured deals to supply to key accounts in the power, manufacturing, shipping, transportation, construction and other industries.
Philippine FamilyMart CVS, Inc., another new business, increased its same store sales by three percent since the acquisition in January.
Family Mart is the country’s third largest convenience store brand, a franchise of Japan’s FamilyMart, with 65 stores mostly in Metro Manila.
“We are looking at another banner year as we fully consolidate our new businesses and relentlessly pursue operational excellence,” said Uy.
Phoenix Asphalt Philippines Inc., a joint venture with Thailand’s TIPCO Asphalt and PhilAsphalt Development Corp., recently broke ground for its asphalt plant in Batangas.