Davao-based leading independent oil company Phoenix Petroleum Philippines, Inc. posted consolidated net income of P255 million for the first quarter of 2016, an increase of 11 percent compare to P230 million from a year ago.
In a disclosure to the Philippine Stock Exchange (PSE) on Thursday, Phoenix attributed the higher earnings to a 56 percent increase in sales volume of petroleum products during the first quarter.
Growth in sales volume was driven by strong performance from the retail and commercial sales segments, according to the oil company.
Retail Sales grew by 22 percent from the expansion of the company’s retail station network and improvements in same-store sales.
Phoenix added 14 more retail stations to its network of 454 stations as of the end of 2015, for a total of 468 stations as of March 31, 2016.
Moreover, sales to commercial accounts, primarily to the power, shipping, fishing, mining, and transportation sectors, registered continuous growth during the year.
Phoenix Petroleum supplies about 50 percent of Cebu Pacific’s jet fuel requirements and handles all their logistics needs in Mindanao and many parts of Visayas.
The company continues to expand its logistics (shipping and land transport), storage, and infrastructure to support both its retail network expansion and its commercial and industrial clients.
The non-fuel related business (NFRB) complements the growth of the retail segment by adding more locators to various retail station sites.
“The Company has been growing this segment as it builds bigger stations with ample spaces that can accommodate the growing needs of NFRB by capitalizing on the company’s brand and the stations’ good location,” Phoenix said.
Total shareholder’s equity was P10.230 billion as of March 31, 2016 compared with P10.023 billion at the end of December 2015.
The company plans to embark on a share buy-back program this year of up to P250 million. “The Company believes that its share price is heavily discounted in the market compared with its peers in the country and in the region,” Phoenix said.
Phoenix Petroleum is the country’s fastest-growing oil company with an expanding network of operations nationwide. It is engaged in the business of trading refined petroleum products and lubricants, operation of oil depots and storage facilities, shipping/logistics and allied services.