MANILA, Philippines — The earnings of Shell Pilipinas Corp. plunged by 70.7 percent to P1.2 billion in 2023 from P4.1 billion in 2022 on the back of declining global fuel prices and elevated interest rates.
Shell Pilipinas president and CEO Lorelie Quiambao-Osial said the company’s marketing business achieved a remarkable turnaround last year with delivery surging by over 60 percent, demonstrating resilience amid a challenging year.
“I’m incredibly proud of the resilience shown by our organization, delivering results amidst market pressures in 2023. Despite external challenges, we were still able to gain higher marketing earnings while introducing new and innovative offers,” she said.
According to Shell Pilipinas, macroeconomic factors such as elevated interest rates and decline in global fuel prices impacted the company’s overall profitability in 2023.
However, the company said it was able to navigate through these obstacles by strategically increasing volumes and maintaining a focus on premium products.
Cash flow from operations stood at P4.3 billion, excluding working capital attributed to the company’s active working capital management.
It added that prudent cost management helped the company deliver P900 million savings across the organization.
Shell Pilipinas is eyeing growth for this year.
“At Shell Pilipinas, we’re committed to being a driving force in the Philippines’ energy sector. By prioritizing innovation, efficiency, and solutions that put our customers first, we’re paving the way for a future that’s not only more resilient, but also more sustainable,” Osial said.