Shell & Petron post P11.6B Profits in the Last 18 Months

[mantoy]

from Phlippine Star 08/30/05

Two of the country's oil refiners - Pilipinas Shell Petroleum Corp. and Petron Corp. - raked in P11.6 billion in after-tax profits in the last 18 months, as they enjoyed what a lawmaker described yesterday as "massive pricing power" due to soaring world crude prices.

Citing financial statements filed by the two oil firms with the Securities and Exchange Commission (SEC), lone Catanduanes Rep. Joseph Santiago said Shell and Petron posted P2.87 billion and P2.31 billion in net profits, respectively, from January to June this year alone, or a combined P5.18 billion.

In the 12 months of 2004, he said Shell and Petron posted P2.98 billion and P3.43 billion in net profits, respectively, or an aggregate profit of P6.41 billion.

"The two refiners are obviously benefiting immensely from the surge in crude oil prices, which has given them tremendous pricing power," Santiago said in a statement.

With its huge earnings, he said Shell was able to distribute P5.56 billion in dividends to its shareholders within the 18-month period - P2.59 billion last year and P2.97 billion this year.

Petron, for its part, paid P2.9 billion in dividends to its shareholders over the 18-month period - P1.88 billion last year and P938 million this year.

"We are not out to judge the two oil firms. It is not a crime to make a profit in this country," Santiago said. "We are simply disclosing these figures in the interest of public scrutiny and transparency. We are leaving it to the people - to consumers - to judge for themselves."

He pointed out that while full disclosure is not much of a concern for Petron, a publicly listed firm, Shell "remains privately held so it is not exactly reporting publicly or press-releasing its financial circumstances."

But both Petron and Shell have been filing quarterly as well as annual financial reports with the SEC, as mandated by law, Santiago added.

In the first half of 2005, Petron and Shell reported that the price of the benchmark Dubai crude averaged $44.80 per barrel, up 43 percent compared to the $31.40 average in the first half of 2004.

By mid-July this year, the two firms reported that Dubai crude had hit $54 per barrel.

Shell and Petron are the only crude oil refiners left in the country.

In October 2003, Caltex Philippines Inc. shut down its Batangas refinery, which has been converted into a product terminal. Caltex has since been importing finished petroleum products.

Caltex reported a net loss of P1.61 billion in 2004 on top of a net loss of P1.92 billion in 2003. The firm last reported a net profit of P1.17 billion in 2002.

Caltex is no longer required to file quarterly reports with the SEC, only annual reports. Thus, no figures were readily available for the first semester this year.

[warp]

How much ang stockholders equity at invested capital? baka naman malaki rin.

[mazdamazda]

How much ang stockholders equity at invested capital? baka naman malaki rin.

Below is the financial highlight of Petron for 2004 (in thousands of pesos).

Imagine that... revenues of around 150B but the net profit is "just" 3.5B. In contrast, PLDT's revenue is around 120B and net profit of 28B.

Net Sales 147,425,000
EBITDA 7,969,000
EBIT 5,556,000
Net Profit 3,425,000
Ordinary Dividend -1,406,000
Long Term Invest. 417,000
Fixed Assets 24,862,000
Current Liabilities 31,689,000
Long Term Debt 7,207,000
Minorities 110,000
Total Shareholder Eq 21,224,000
Stocks/Inv. 19,235,000
Cash 4,104,000
KEY RATIOS 2004
Net Profit Margin 2.32 %
Cur. Ratio 1.1300
Debt/Capital 0.4400

[mbt]

ganyan din sa ibang bansa, the oil companies have more money than they know what to do with hehe.

does this have anything to do with high oil prices?

[kimpOy]

WTF...

hmmm magkano kaya kinita ng isang share?

[cardo]

dapat i-breakdown nila yun profit report nila. how much of those billions came from the various divisions of the company.

[pissword]

hehe you cant blame them naman if they make that much profit.. bakit pa nag negosyo dba oo nga how much kaya per share yan hehe... imagine niyo nalang ang globe smart pldt etc... whew!!

[oldblue]

11.6B liit ah talo pa sila ng PLDT, mga 40B net profit ata pldt last 2004 nabasa ko sa news

[altec]

net profit 2.32%? maliit pa nga yan eh. I think they are required to maintain by their creditors or head office or something like that, of an income of around 5%, maybe even higher. Masarap ang buhay ng mga empleyado ng big 3. Matrabaho lang ngayon dahil they are soooo busy perpetually adjusting the price of fuel upwards. But as far as perks are concerned? Very worth it. Except ang caltex several times na nag retrench from privileged info I got the past years.