Independent oil company Phoenix Petroleum Philippines, Inc. will set aside an additional P10-billion budget that it will use to fund its expansion program over the next three years.
In its filing with the local Bourse, Phoenix Petroleum disclosed that its board of directors agreed to spend P10 billion over the next three years for expansion, including possible acquisitions, to ramp up their aggressive growth plans.
“We plan to spend P6 to P8 billion more over the next three years as we look to expand through acquisitions,” said President and CEO Dennis Uy during the company’s Annual Stockholders Meeting.
This would be on top of the company’s P2-billion budget for capital expenditures this year, which it will use to increase its retail network, storage, and logistic capacities.
Phoenix Petroleum posted profits of P1.09 billion and sold a record 1.5 billion liters in 2016 as sales volume from its retail, commercial, and aviation segments grew.
The company also more than doubled its core earnings to P937 million in 2016 from the P416 million it made in the same period last year.
The lubricant segment of its sales has been on uptrend, with it growing by 18-percent on market share, generally on year-on-year basis.
The oil firm explained that this was propelled by the completion of its 51 new gasoline stations last year, that then beefed up its retail network to 505 stations as of end-2016,.
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