PTT Philippines Corp., a wholly owned subsidiary of Thailand’s PTT Public Co. Ltd, will spend more than P500 million to continue its expansion plans in 2018, both for its oil and non-oil businesses in the country.
PTT said the amount set aside for next year’s expansion is part of the company’s P5-billion capital expenditure plan for the five years starting 2017.
The spending will primarily go to the opening of more than 30 gasoline stations and about 12 Café Amazon stores in various parts of country, specifically in Luzon, according to PTT Philippines President and Chief Executive Officer Sukanya Seriyothin said.
“We remain confident on the business climate in the Philippines, that’s why from 20 stations that we targeted this 2017 which we actually exceeded, we are targeting more than 30 stations next year,” she told reporters at a media conference.
PTT Philippines Trading Corp. General Manager Danny Alabado said the company is also looking at increasing the number of retail stations to 320, as well as the number of Café Amazon outlets to about 100 in the next five years.
Alabado said PTT, which is exploring opportunities not directly related to the oil business, is targeting a compounded annual growth rate of about 17 percent in the next five years.
Currently, PTT Philippines has a total of 120 gasoline stations in the country, 15 of which are in Metro Manila and the remainder in other parts of Luzon. In the Visayas, it has 15 stations.
It is also expanding its own coffee shop chain, Café Amazon. PTT Philippines started diversifying into the coffee shop business to complement its more than 1,850 stores in Thailand and in other parts of Asia, including one in Japan.
“By end of this year, we will have a total of six stores that are fully operational,” PTT Philippines Marketing Director Thitiroj Rergsumran said, adding that 12 more stores are expected to open in 2018.
“After SCTEX [Subic-Clark-Tarlac Expressway], we opened this year our stores at PTT Dasmarinas, Cavite and at SM North Edsa. And this month, we are opening our stores at PTT Edsa Veterans in Quezon City, another one at PTT Pulilan (Bulacan), and at PTT Lubao (Pampanga),” Thitiroj said.
PTT Philippines, which offers a partnership deal through dealership for its gasoline stations, opened its Café Amazon brand to franchising with an initial investment of P4 million to P6 million.