Petrolimex and PV Oil are the two leading wholesale and retail petroleum traders in the market - Photo: BONG MAI
The "big brother" of the petroleum retail industry - Vietnam National Petroleum Group (Petrolimex, stock code PLX) has just announced business results with outstanding growth.
Petrolimex has exceeded its annual profit target in 6 months.
In the first half of 2024, the company achieved revenue of nearly VND 149,000 billion and after-tax profit of more than VND 2,400 billion, up 12% and 49% respectively over the same period last year.
With the above results, Petrolimex completed 79% of the revenue plan and exceeded 1.5% of the after-tax profit target for the whole year.
Mr. Nguyen Ba Tung, chief accountant, on behalf of the company, announced information explaining the growth results. In the first half of this year, the petroleum business was stable, effective and sales volume increased compared to last year.
World energy supply and oil prices are stable, not fluctuating as much as in previous years.
While the supply of gasoline from domestic refineries is quite stable, traders are purchasing gasoline according to plan and ensuring efficiency.
Other sectors are stable and have growth compared to the same period.
In addition, financial profit in the period increased sharply thanks to high dividends from subsidiaries, joint ventures and associates.
However, the above results were also affected somewhat by the fact that the profits of the last quarter from the subsidiaries trading in petrochemicals and jet fuel decreased compared to the same period. The divestment of capital at PG Bank last year also caused the profit from joint ventures and associates in the second quarter of 2024 to decrease compared to the same period.
As of mid-year, Petrolimex had total assets of over VND74,700 billion, down from the beginning of the year. Liabilities decreased to VND46,100 billion. Owners' equity decreased to VND28,600 billion.
On the stock market, stock code PLX is still in red at VND 48,600/share, but has increased by more than 33% in the past year.
PV Oil net profit of hundreds of billions, down compared to the same period
As a key member of the Vietnam Oil and Gas Group, the business results of Vietnam Oil Corporation - PV Oil (code OIL) are of interest to investors.
In the consolidated financial report for the first half of this year, PV Oil earned more than VND64,300 billion in revenue, up about 50% over the same period last year. After deducting expenses, the company had VND345 billion in profit after tax, down 20% over the same period last year.
PV Oil said profits decreased due to the impact from the parent company.
Specifically, world oil prices continue to have unpredictable fluctuations, increasing and decreasing with large amplitudes at different times. Overall, there is a slight upward trend compared to the average of last year.
At the same time, businesses must increase imported goods to make up for the shortage during the time Dung Quat Oil Refinery stops operating for maintenance.
While the USD exchange rate increases sharply and remains high, it increases financial costs and related costs, affecting business efficiency.
By mid-year, PV Oil's assets had slightly decreased to VND37,600 billion. Liabilities had also decreased to nearly VND25,900 billion, 2.2 times higher than equity.
OIL code is currently at 15,400 VND/share, up 48% in the past year. OIL is on warning list.
Opportunity to gain more market share
In the middle of this year, the draft of 3 decrees on petroleum business in 2024 was completed by the Ministry of Industry and Trade and sent to the Ministry of Justice for appraisal, replacing many previous decrees.
The general spirit is to create conditions for petroleum wholesalers to decide on their own selling prices, reduce the process of calculating related base prices, and better reflect fluctuations in actual business costs of the enterprise.
According to the research team from MB Securities (MBS), although the draft also has stricter requirements, looking at the overall regulations, "we believe that businesses with large market shares such as Petrolimex and PV Oil can benefit the most".
BIDV Securities (BSC) commented that with the new draft, due to the tightening of petroleum trading conditions, through tighter control of the activities of petroleum distributors and petroleum retailers, Petrolimex has the opportunity to gain more market share.
Meanwhile, the petroleum distribution market in Vietnam still has a lot of room for long-term growth. The demand for petroleum consumption will grow steadily at an average of 4-5% per year.
Source: https://tuoitre.vn/petrolimex-6-thang-lai-vuot-chi-tieu-ca-nam-pv-oil-lai-khiem-ton-hon-20240902100633258.htm
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