Ramon Ang-led Petron Corporation posted a net loss of P12.6 billion in the first 9 months of 2020, as domestic volume plunged amid the coronavirus crisis.

During the same period in 2019, Petron earned P3.6 billion.

Consolidated revenues also declined 43% to P216.4 billion from last year’s P381.7 billion. 

But the oil giant noted that sales volume improved during the 3rd quarter, as quarantine restrictions eased.

Petron’s consolidated net income reached P1.6 billion in July to September, an improvement from the losses incurred in the first two quarters of 2020.

“While the oil industry continues to face major challenges, we are beginning to see signs of recovery thanks to our government’s decision to gradually and safely restart the economy,” Ang said.

“Aside from retail, we can also expect the reopening of local tourism to influence higher demand for aviation fuel which really took a hit because of the pandemic,” the Petron chief executive officer and president added.

Tax concerns

Aside from operating under a volatile business climate, Petron – the only remaining refiner in the Philippines – reiterated its concerns regarding “arduous taxation,” which is not necessarily encountered by fuel importers.

“Under the current regime, refiners are faced with the burden of paying so much more taxes than importers, making it more difficult for us to preserve the viability of operating a refinery in the country,” Ang said.

“Of course, we want to keep our refinery running and hopefully with the government’s support, we will be able to do this more efficiently.”

The company has a refinery in Bataan. It resumed normal operations last October. – Rappler.com