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wed-thu|may 7-8, 2014
Nickel Asia gets 1Q boost from one-time profit
Petron first-quarter gain inches up on higher sales PETRON Corp has announced a one-percent increase in net income in the first quarter, as the country’s largest oil retailer saw revenue rising in the low double-digits. In a statement, Petron said it earned P2.23 billion in the January to March period, up from the P2.20 billion in the same three months of last year. Revenue from its Philippine and Malaysian op e r at i ons cl i mb e d 1 2 percent to P125.2 billion from P112 billion in 2013. Sales volume increased by four percent to 20.7 million barrels from last year’s 20 million. Retail sales alone hit 10.6 million barrels, up six percent from 10 percent in 2013. “This can be attributed to improved network sales and its service station expansion program,” Petron said. The company’s local business contributed sales of P75.4 billion, up 12 percent from P67.3 billion in 2013, driven by a two percent increase in volumes and an improvement in the product sales mix. The company, to date, has a combined network of over 2,700 stations, 2,200 of which are in the Philippines where it remains the market leader with a 37 percent share.
“We are excited about the company’s prospects in the coming months with our ongoing upgrading and expansion projects. We are close to realizing our vision of a larger and stronger Petron especially with the completion of our biggest investment to date, the Refinery Master Plan-2,” Petron chairman and chief executive officer Ramon S. Ang, said. The $2-billion Refinery Master Plan – 2 (RMP-2) will be in full commercial operation by next year, allowing Petron to increase production of gasoline, diesel, and petrochemicals at its Bataan Refinery. C omplementing its RMP-2 and retail expansion program, the company is also expediting its Logistics Master Plan (LMP), which will integrate Petron’s supply chain with the aim of serving customers’ fuel needs in the fastest, safest, and most cost-effective means. This project includes the upgrade of existing facilities and the construction of new storage tanks in strategic locations, modernization of tank trucks, among others. “ These projects will enhance the value generation of Petron’s key assets and gives it a unique advantage from refining to distribution to marketing,” Ang said.
Toyota revises 2014 plan in anticipation of stronger sales TOYOTA Motor Philippines Corp. (TMP), the country’s largest automotive company, is revising its annual plan to prepare for the possible surge in market demand given the start of motorization stage of the domestic economy. This was revealed by TMP president Michinobu Sugata at the recently held 2014 Toyota Supplier Conference and 14th Toyota Suppliers Club Assembly at the Manila Hotel. “We are now studying what and how TMP should prepare for the possible surge in market demand, together with formulating our revised annual plan,” Sugata said citing the increasing consumer demand for cars. Part of its preparation is TMP’s projects in the pipeline
that include increasing production capacity through plant improvements, as well as localization of additional 15 press parts for the Vios, one of its two locally assembled model. L o oking at business prospects for 2014, Sugata remarked that the first q u a r t e r ’s r o b u s t s a l e s performance was a pleasant surprise, clearly signifying that motorization in the Philippines is becoming more evident as the country’s economy continues to grow. Local motor vehicle industry sales in the first quarter grew 22.9 percent while TMP’s sales surged 34 percent over the same quarter last year. Sugata also congratulated and thanked its supplier toyota/PAGE 10
NICKEL Asia Corp yesterday announced a near fivefold increase in its profit in the first three months of the year on the back of onetime gains. In its unaudited financial report, the country’s largest listed nickel miner said it earned P1.033 billion in the January to March period, a 374 percent increase from the P217.9 million in the
same three months of last year. Excluding the share of minority shareholders, net income attributable to equity holders of the parent surged nearly sixfold to P593.7 million from the P100.3 million over the same period. Nickel Asia said the jump in its earnings included a non-cash gain of P416.6 mi l lion ar ising f rom a
property dividend declared by subsidiar y Rio Tuba Nickel Mining Corp (RTN). The property dividend pertains to RTN’s 10 percent stake in the processing plant of Coral Bay Nickel Corp (CBNC) that had b een revalued higher. Nickel Asia’s interest was subsequently transformed from a six p e rc e nt i n d i re c t s t a ke held through RTN to a 10
percent direct participation in CBNC. Without the one-time gain, Nickel Asia’s core net income attributable to equity holders of the parent reached P177.1 million, or 77 percent higher year-on-year. The first-quarter earnings also included an P11.7million in equity income f r o m i t s 2 2 . 5 p e r c e nt profit/PAGE 11