KUALA LUMPUR – Petronas Dagangan Bhd (PDB), which operates the energy giant’s petrol stations, has posted a lower net profit of RM276 million for the 2020 financial year
This is compared to RM829.54 million a year earlier, with Petronas citing external challenges including the sharp decline in petroleum product prices at the start of the year and ensuing Covid-19 restrictions on movement.
Revenue fell to RM18.71 billion from RM30.29 billion primarily impacted by lower sales volume and a decrease in average selling prices.
The company said it recorded a gradual recovery in the third quarter of 2020 but the reimplementation of movement restrictions in the fourth quarter had affected its growth trajectory.
It registered a net profit of RM89.21 million in the fourth quarter, against RM126.59 million, while revenue stood at RM4.39 billion from RM7.79 billion year-on-year.
“Though 2020 had been challenging, it was an enabler for innovation. We have accelerated our plans to diversify our product portfolio and digitalise our operations as part of our efforts in future-proofing the business,” said managing director Azrul Osman Rani in a statement today.
He added that the current movement restrictions are expected to be a temporary challenge especially in the first quarter of 2021.
“Our efforts in creating new opportunities to meet customers’ changing needs will be key to our business growth and development,” said Azrul.
The company has accelerated the expansion of its food and beverage offerings to include more ready-to-eat meals via its Makan@Mesra initiative.
To date, there are nine Petronas stations that offer Makan@Mesra and the company plans to expand to 200 stations by the end of 2021, said PDB.
The company also recently launched Segar@Mesra at four of its stations, offering locally farmed produce.
PDB’s share price closed two sen higher at RM19.20 on Bursa Malaysia today. – Bernama, February 19, 2021
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