Amid the pandemic, Pryce’s consolidated revenues in 2021 grew by 31.24%, from Php 11.713 billion to Php 15.372 billion. This growth was primarily driven by increased sales volume of LPG (cooking gas) and higher LPG contract prices (otherwise known in the industry as “CP”). The comprehensive net income (unaudited) registered growth of 12.11% from Php 1.623 billion to Php 1.819 billion.
The company’s LPG business segment contributed Php 14.248 billion or 92.69% to the consolidated revenues, while the industrial gas products segment pitched in Php874.039 million or 5.69%. Sales from the group’s real estate and pharmaceuticals businesses accounted for the balance of Php 250 million or 1.62%.
Sales volume of LPG increased by 11.86%, from the previous year’s 242,474 metric tons (MT) to 271,242 MT. The average CP was substantially higher in 2021 by 58.08% at US$ 635.08/MT from 2020’s US$ 401.75/MT.
Operating expenses rose by 38.92%, from Php 1.298 billion in 2020 to Php 1.803 billion in 2021. This is due to the company’s continuous expansions in its PRYCEGAS home delivery fleet and its LPG infrastructure consisting of import marine terminals, refilling plants, and sales centers. These expansions are already making contributions to the growth of retail sales in 2021.
In December 2021, a new import marine terminal located in Lugait, Misamis Oriental, was completed. It has a storage capacity of 4,000 metric tons, the biggest in the whole of Mindanao. It received its maiden LPG shipment in December 2021. By the 4th quarter of 2022, another marine terminal will be completed in Lila, Bohol, and by which time the company will have a total of ten (10) import marine terminals all over the country, bringing the overall storage capacity of all marine terminals to 38,840 MT. In 2021, three (3) refilling plants and 178 new sales centers were built nationwide. A deeper penetration of the LPG retail market is expected from such expansions and, correspondingly, more sales revenues in the next 2 or 3 years.
Following the enlargement of the company’s fleet of motorized riders, the home delivery of PRYCEGAS’ LPG products has improved to a more full-time delivery commitment of 24 hours, 7 days a week. PRYCEGAS’ existing and prospective customers need only dial #98000, with no call charges, and the LPG and oxygen products are delivered within one (1) hour.
The foregoing disclosures contain forward looking statements that are based on certain assumptions of Management and are subject to risks and opportunities or unforeseen events.