'Giant' Binh Son Refining and Petrochemical unexpectedly lost 1,200 billion VND in the third quarter

Binh Son Refining and Petrochemical (BSR) - a major domestic petroleum supplier - has just reported a loss of more than VND 1,200 billion in the third quarter of 2024.

BSR is the unit managing and operating Dung Quat Oil Refinery - Photo: BSR

Binh Son Refining and Petrochemical Joint Stock Company (BSR) has just announced its financial report with net revenue of VND31,946 billion in the third quarter, down more than 15% compared to the same period last year. Notably, BSR's cost of goods sold in this period reached VND33,415 billion, higher than sales revenue.

Due to operating below cost price, BSR recorded a gross loss of VND1,469 billion, while in the same period it still made a profit of VND3,830 billion.

Also in the third quarter, BSR's financial revenue reached VND553 billion, up nearly 32% over the same period. A series of expenses from interest to sales and business management all decreased.

But "revenues cannot cover expenses", BSR still suffered a net loss of more than 1,200 billion VND in the third quarter. This is also the first quarter that this large petroleum supplier in the domestic market has reported a loss in nearly 6 years.

In the first 9 months of this year, BSR recorded revenue of VND87,058 billion, down more than 17% over the same period. Profit after tax reached VND674 billion, down 89% over the same period in 2023.

In an explanation to the Securities Commission, Mr. Bui Ngoc Duong - General Director of BSR - said that in the third quarter of this year, the price of crude oil and products decreased sharply. Specifically, the price of crude oil decreased from 85.31 USD/barrel on average in July 2024 to 74.33 USD/barrel in September 2024.

The gap between crude oil prices and product prices also narrowed significantly compared to the second quarter of this year and the quarter of last year.

It is known that BSR is the unit managing and operating Dung Quat Oil Refinery - an important project related to national security, with a total investment of over 3 billion USD, contributing to ensuring national energy security.

According to the 2023 annual report, BSR was established in 2008, with a charter capital of more than 31,000 billion VND.

The list of state shareholders and major shareholders as of the first 6 months of 2024 announced by BSR is the only one by Vietnam Oil and Gas Group (PVN). Currently, PVN holds 2.85 billion shares of BSR, equivalent to 92.13% ownership.

BSR successfully organized an IPO in January 2018 and BSR shares were listed on the UPCoM floor of the Hanoi Stock Exchange from March 2018.

Recently, BSR announced a resolution on listing BSR shares on the Ho Chi Minh City Stock Exchange.

Source: https://tuoitre.vn/ong-lon-loc-hoa-dau-binh-son-bat-ngo-lo-1-200-ti-dong-quy-3-20241030193404808.htm