MANILA, Philippines — Shell Pilipinas Corp. has managed to recover from a first quarter net loss to pull off a P122.9 million profit in the first half of the year.
The company said its first semester net income, which was 98 percent lower year-on-year, was achieved amid challenging conditions brought about by decreasing oil prices and tripling of interest rates.
Shell Pilipinas’ core earnings, meanwhile, grew by five percent to P1.44 billion from P1.37 billion in the same period in 2022 as a result of the increase in marketing volumes and premium products.
Net sales for the period fell by 5.1 percent to P128.42 billion due primarily to lower pump prices driven by the general decrease in global oil prices.
“We will continue our strong momentum in marketing delivery and will further reduce our expenses to accelerate our commitment to resume dividend payment and reward our dedicated shareholders,” Shell Pilipinas president and CEO Lorelie Quiambao-Osial said.
“We have built momentum and we will finish strong in 2023 with exceptional customer experience and continued innovation in serving our growing customer base with world-class Shell products and services,” she said.
The company’s total volume delivery grew by nine percent during the first half as premium fuel, lubricants, and bitumen products penetration remained high.
Commercial business-to-business sectors increased sales volume by 10 percent, while volume jumped by 39 percent for aviation and more than tripled for commercial road transport.
Shell Pilipinas’ lubricants business likewise posted a five percent growth as new product launches and e-commerce solutions won more key accounts.
“While competition abounds in the local market, the superior quality and high reliability of our products coupled with our customer-centric commitment continues to make Shell foremost in the minds of the motoring public,” Quiambao-Osial said.
“We aim to continue to be the top choice of motorists and companies as the economy continues to rebound to pre-2019 levels,” she said.
Shell Pilipinas said it would continue to operate in line with its powering progress strategy by working towards its commitment to maximize fuel efficiency that its customers need and ensuring return on investment of the company’s shareholders.
“We are committed to delivering value to our customers, to our shareholders, and to our staff and business partners. We do this with a renewed focus on our performance, financial discipline and simplification in the way we deliver,” Quiambao-Osial said.