For the quarter ended Sept 30, Petronas Dagangan Berhad (PDB) saw gradual recovery from the impact of Covid-19 and Movement Control Order (MCO), recording a Profit Before Tax (PBT) of RM288.3 million as compared to RM317.7 million in the same quarter last year. Revenue for this quarter stood at RM4,830.5 million.
This quarter’s PBT is a significant improvement as compared to the preceding quarter where the Company registered RM1.2million in PBT. It is an improved performance for PDB since March 2020, with sales volume recording a 34 percent increase as compared to the preceding quarter, mainly contributed by higher volume in Mogas and Diesel, as nationwide activities gradually picked up from pandemic-related restrictions.
In the commercial segment, Jet A1 also saw an increase in volume as domestic travel recovered. Its non-fuel income also grew as Kedai Mesra become a more convenient shopping option during this pandemic.
Commenting on the Company’s performance, PDB’s Managing Director and Chief Executive Officer, Azrul Osman Rani said, “While our Q3 performance has improved, we expect some impact on our volume in the next quarter as the Conditional Movement Control Order has been implemented in most states. As this pandemic continues to be an ongoing challenge, we have accelerated the diversification of our product portfolio to future-proof our business.”
In Q3 FY2020, PDB became the first Liquified Natural Gas (LNG) solution provider using road trucks for off-grid customers in Peninsular Malaysia, following the completion of the Virtual Pipeline System (VPS) solution by PETRONAS Energy & Gas Trading via the Regasification Terminal (RGT) in Pengerang, Johor.
Through the VPS solution, PDB now has the capability to deliver LNG using trucks fitted with cryogenic tanks, providing access to cleaner energy to industries that are not connected to the natural gas infrastructure within Peninsular Malaysia. PDB is also now marketing LNG as a cleaner fuel option to the marine industry, following the completion of its maiden ship-to-ship LNG bunkering transfer operation from MV Avenir Advantage, Petronas’s first LNG Bunkering Vessel (LBV), to SIEM Aristotle at Pasir Gudang, Johor, that was achieved via a collaboration with Titan LNG.
More recently in October, PDB launched [email protected], a new eatery corner that offers convenient, fresh and well-balanced premium food at affordable prices to capture a larger market. The new concept is part of PDB’s continuous effort in growing its non-fuel business particularly to address the increasing demand for food-to-go solutions.
The Company also launched the LoveLocal Campaign which echoes the Government’s call to rally Malaysians to support and buy local products to stimulate domestic consumption.
“Our fundamentals remain strong and we will continue to expand our offerings to cater to the demand in this new norm. Particularly, we want to do our part to assist local businesses who have been hit hard and hence, both [email protected] and LoveLocal Campaign are platforms that can promote the purchase of quality local products at our stores. I would like to thank our customers who have given support to Petronas, as by doing so, they are indirectly helping our local suppliers and strengthening the domestic economy,” he added.
PDB also launched the Petronas Setel-Mesra Bonanza Campaign, in its effort to continuously reward its loyal customers with cash and fuel vouchers, which will benefit a total of 992 winners. Setel also became the first mobile application in Malaysia to offer Deliver2Me, an initiative that allows Setel users to purchase selected items from participating Kedai Mesra stores and have it promptly delivered directly to their vehicle while refueling. Setel can also be used to pay for Kedai Mesra items in response to demand for safer payment method that minimises physical contact. As of to date, Setel has increased its number of users to close to 2 million and expanded its availability to over 1,000 PETRONAS stations nationwide.
Azrul further commented, “As we keep our business’ progress on track, we remain vigilant of the uncertainties in the market. We will continue to prioritise prudent cash management and ensure our ecosystem remains robust to remain resilient through this challenging time.”
PDB has declared an interim dividend of 11 sen per ordinary share for the quarter ended Sept 30.