Pilipinas Shell reverses net loss, earns P3.4B 9 months into 2021

Pilipinas Shell Petroleum Corp. got back its financial strength as it netted P3.4 billion nine months into 2021 despite the mobility restrictions due to the re-imposition of strict lockdown during the third quarter of the year.

Shell’s P3.4 billion net income in the January to September period is a turnaround from the P13.9-billion net loss incurred in the same period last year, the company said in a disclosure to the Philippine Stock Exchange on Friday.

“Our renewed strategy has been proven effective for our business to thrive amidst the resurgence of selected lockdowns in the country. We are continuously growing our capacity for the remainder of 2021, to prepare for the near and medium-term demand pick-up as active new COVID cases decline, vaccination programs accelerate, and travel restrictions ease,” said Pilipinas Shell president and CEO Cesar Romero.

In particular, the company’s premium fuel penetration increased to 31%, with Shell’s V-Power brand maintaining its position as the most preferred fuel brand in the country.

Commercial fuels and bitumen also continued to be the preferred supplier for key construction sector players.

The company said Shell Bitumen Freshair, its eco-friendly bitumen product, continues to be a significant value driver and is currently used in projects like the P30-billion Cebu-Cordova Link Expressway, an 8.5-kilometer toll road project that includes a bridge connecting Cebu in Cebu City to Mactan island through the town of Cordova.

On the other hand, Pilipinas Shell’s lubricants business continued to thrive in both volumes, which is up 36% versus the previous year.

Aviation volumes, likewise, continued to improve, with volume recovery in the third quarter of over 60% compared to the same period last year, driven by an increase in passenger flights as domestic and international flight restrictions ease. —LBG, GMA News