Petronas has reversed its 2020 blip with a convincing Profit After Tax of RM48.6 billion for financial 2021, achieved on the back of RM248 billion in revenue.
The group added that this was possible from the sustained operational resilience, surging commodity prices driven by the recovery in global energy, and demand rise as key economies reopened. Petronas reported a Loss After Tax (LAT) of RM21.0 billion in 2020, but has flipped with better profits Revenue was better mainly due to favourable price impact for major products in line with higher average realised prices. EBITDA rose to RM100.5 billion, primarily attributed to higher revenue, partially offset by an increase in product costs.
Capital Investments for the period were RM30.5 billion, primarily attributed to Upstream projects. For the fourth quarter ended the Group recorded a revenue of RM76.6 billion, an increase from RM44.0 billion in the corresponding quarter last year, mainly driven by favourable average realised prices for all products. Earnings increased to RM28.1 billion from RM11.9 billion in the corresponding quarter last year, in line with higher revenue partially offset by higher product costs. The Group registered a PAT of RM13.4 billion against LAT of RM1.1 billion for the fourth quarter of 2020 in tandem with higher EBITDA and lower net impairment losses on assets.
Datuk Tengku Muhammad Taufik, President, and Group CEO, commented “the strong performance in 2021 bears testimony to the dedication of our workforce. Coupled with a robust integrated energy portfolio, PETRONAS has remained resilient after two years of extreme disruptions to the energy ecosystem, positioning us better to capitalise on market recovery.
As for its new energy initiative, the group said it has close to 1GW of solar capacity in operation and under development.
Looking ahead, Petronas adds that the industry is expected to continue to operate in a challenging environment due to market uncertainties and heightened geopolitical risks. Amidst these challenges, the Group will focus on executing growth plans and sustainability efforts while remaining committed to delivering operational and commercial excel.
