Retail fuel giants report profits in Q1

The Vietnam National Petroleum Group (Petrolimex), which accounts for more than half of the country’s retail fuel market, achieved a net profit of nearly VND667 billion (US$28.4 million) in the first three months, up more than 50% year-on-year, according to its financial report.

But the figure was only half of that in the previous quarter.

PetroVietnam Oil Corporation (PVOIL), a subsidiary of Vietnam Oil and Gas Group and which occupies 30% of the retail fuel market, reported net profits of nearly VND266 billion in the first quarter, down 6% year-on-year.

Vietnam’s fuel supply saw major disruptions last year and has been forecast to be more stable this year, but macroeconomic challenges such as inflation, high interest rates and global turbulence are keeping retailers cautious on business targets.

PVOIL aims to earn revenue of VND50 trillion and a profit of VND600 billion this year.

The company plans to take over small private gas stations, which had to suspend operations amid the supply crisis last year.