LIQUEFIED petroleum gas (LPG) industry player Pryce Corporation has posted 9.4 percent income jump to P396.36 million in the first quarter of this year versus year-ago level of P362.35 million.
On a consolidated revenue basis, the company was able to inch that up by 24.2 percent to P3.18 billion from last year’s P2.56 billion.
“The company’s net income of P396.36 million represents 12.5 percent return on sales,” the Escano-led firm noted.
The upturn in the company’s financial performance, as noted, has been due to higher sales of its LPG cooking gas, along with its cylinders and accessories, as well as LPG gensets.
“LPG products accounted for 95.3 percent of total revenues, while the balance was covered by sales of industrial gases, real estate and pharmaceutical products,” the company said.
It added that “the rise in revenue is mainly due to the 15.1 percent growth in LPG sales volume,” which reached 58,745 metric tons (MT) in the first three months of the year versus 51,047 MT in the same period in 2019. Revenues had likewise been buoyed by higher average international LPG contract price of US$572 per metric ton within the January-March stretch as against last year’s US$465 per metric ton on a comparative period.
Relative to the persisting enhanced community quarantine (ECQ), Pryce noted that this “only slightly affected the company’s first quarter performance since the ECQ was implemented near the end of the quarter (specifically on March 16, 2020).”
Nevertheless, it indicated that it is expecting the succeeding quarters “to be adversely affected by the coronavirus pandemic.” It has to be noted that ECQs are still prevailing in many parts of the country until May 15 this year.
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