Petronas Dagangan Bhd posted a net profit of RM276.4 million for the second quarter ended June 30, 2024 from RM275.7 million a year earlier. Revenue was RM9.84 billion from RM8.91 billion, driven by a 5% increase in both sales volume and average selling prices.

KUALA LUMPUR (Aug 20): Petronas Dagangan Bhd (KL:PETDAG) posted a net profit of RM276.4 million for the second quarter ended June 30, 2024 (2QFY2024), little changed from RM275.7 million a year earlier, despite a higher revenue.

Earnings were weighed down by higher operating expenditures in line with increased activities, as well as higher tax expenses, according to the fuel retailer's filing.

Quarterly revenue rose 10.4% year-on-year to RM9.84 billion from RM8.91 billion, driven by a 5% increase in both sales volume and average selling prices.

The group declared an interim dividend of 20 sen per share, to be paid on Sept 18, bringing the total dividend payout for FY2024 to 38 sen per share.

For the first half of FY2024, PetDag's net profit fell 13% to RM502.4 million from RM577.5 million in the same period of the previous year, due to higher product costs and operating expenses, partially offset by an increase in gross profit, mainly from the retail segment.

Revenue for the six months climbed 9.5% to RM19.2 billion from RM17.6 billion, on the back of a 6% growth in sales volume and a 4% increase in average selling prices.

Looking ahead, PetDag expects to maintain its performance in the retail and commercial segments, supported by a projected gross domestic product (GDP) growth of 4% to 5% and stable Brent crude prices around US$80 (RM350) per barrel by year-end.

While remaining cautious of regulatory changes and global economic factors, the group said it remains focused on operational excellence and growth.

"The retail business is strengthening its focus on acquiring new customers and exploring new opportunities with strategic partners. The commercial segment is set to capitalise on the aviation sector's recovery and other high-value margin sectors with its competitive pricing edge," said PetDag.

In the convenience segment, PetDag anticipates that both Mesra and Setel are on track to continue growing the non-fuel business.

PetDag's shares closed 38 sen or 2% lower at RM18.62 on Tuesday, giving the group a market capitalisation of RM18.5 billion.