PRYCE CORP. reported a 48.8% increase in its net income for the first quarter, reaching P1.06 billion, driven by growth in its liquefied petroleum gas (LPG) retail sales volume in Visayas and Mindanao.
Revenues climbed by 14.24% to P5.36 billion, up from last year’s P4.69 billion, the company said in a media release on Monday.
LPG revenues remained the largest contributor, accounting for 93.03% of total revenues.
The company’s industrial gas sales volume increased by 66.2%, reaching 712,149 equivalent standard cylinders, compared to last year’s 428,617 equivalent standard cylinders.
“This growth is due to the company’s aggressive marketing of its oxygen products following the start of operations of its Liquid Oxygen Facility (LOF) in Cagayan de Oro City,” Pryce said.
The company expects its industrial gas business to contribute P400 million to P600 million to its annual net income over the next two to three years, provided that sales “reach 90% to 95% of the LOF’s capacity.”
Earnings from operations climbed by 3.75%, reaching P889.01 million, compared to the previous year’s P856.88 million.
Operating expenses declined by 1.6% due to the “turnover of selected sales centers to the dealers, thus saving the company rent, fuel, and maintenance expenses.”
Pryce was initially established as a property holding and real estate development company, involved in the development of memorial parks and the sale of memorial lots.
Pryce Gases, Inc., the company’s major subsidiary, is engaged in the importation and distribution of LPG and also produces and sells industrial gases. Another subsidiary, Pryce Pharmaceutical, Inc., is a wholesaler and distributor of private-branded multivitamins and some over-the-counter generic drugs.
At the local bourse on Monday, shares in the company closed unchanged at P10 each. — Sheldeen Joy Talavera
