PetDag 4Q net profit rises 54% to RM137.19m, declares 26 sen dividend

PetDag 4Q net profit rises 54% to RM137.19m, declares 26 sen dividend
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KUALA LUMPUR (Feb 22): Petronas Dagangan Bhd (PetDag)’s net profit in the fourth quarter ended Dec 31, 2021 (4QFY21) rose by 53.78% to RM137.19 million from RM89.21 million in the previous year's corresponding quarter, supported by reopening of more economic sectors which catalysed demand for fuel.

Earnings per share surged to 13.8 sen from nine sen previously, its Bursa Malaysia filing showed on Tuesday (Feb 22).

The group said quarterly revenue increased by 60.61% to RM7.06 billion from RM4.39 billion, on the back of higher average selling prices and sales volume.

The group declared an interim dividend of 26 sen per share to be paid on March 24, taking total dividends for the financial year ended Dec 31, 2021 (FY21) to 70 sen per share.

For FY21, net profit jumped by 91.96% to RM529.75 million compared to RM275.96 million in FY20. Annual revenue, on the other hand, rose by 20.28% year-on-year to RM22.51 billion from RM18.71 billion.

On a quarterly basis, the group’s net profit rose 15% from RM119.31 million in the immediate preceding quarter (3QFY21) while revenue increased by 35.71% from RM5.2 billion in 3QFY21.

Commenting on the group’s financial performance, PetDag managing director and CEO Azrul Osman Rani said the lifting of travel bans and reopening of more economic sectors have accelerated demand for the group’s products and services in 4QFY21.

“We are pleased to see a healthy growth in volume across all our product segments, closing the year with a solid performance despite the challenges.

“We have also begun solidifying our future-proof strategies which aim to ensure PDB remains sustainable and relevant in years to come.

“This includes diversifying our portfolios in line with foreseeable future trends in anticipation of consumers’ changing demand, particularly in the areas of sustainable energy and digital innovation,” he said.

Moving forward, Azrul said the group remains cautiously optimistic going into the year and will leverage positive signs of increased spending by consumers, gradual market growth driven by an expansionary 2022 national budget, an improved crude oil price and the continuous easing and lifting of restrictions being the catalysts for a stronger economic recovery.

Shares in PetDag ended 26 sen or 1.28% lower at RM19.98 on Tuesday, valuing the group at RM19.85 billion.

Pauline Ng