Shell Pilipinas Corporation Closed 2023 With a Net Income of PHP 1.2 Billion

Despite a difficult year, Shell Pilipinas Corporation (SPC) showed resilience by ending 2023 with a P1.2 billion net income. With delivery rising by more than 60% from 2022 to 2023, the marketing business accomplished a stunning reversal.

The mobility business had a 4% volume rise and maintained excellent premium product penetration, mirroring the economic activity of the nation. Shell Pilipinas maintains its leading position in the market for premium fuels and lubricants.

“I'm incredibly proud of the resilience shown by our organization, delivering results amidst market pressures in 2023. Despite external challenges, we were still able to gain higher marketing earnings while introducing new and innovative offers," says Shell Pilipinas’ President and CEO Lorelie Quiambao-Osial.
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The company's total profitability in 2023 was impacted by macroeconomic factors like rising interest rates and a drop in the price of fuel globally. But by deliberately growing volumes and keeping an eye on premium products, the business was able to overcome these challenges.

Due to the company's aggressive working capital management during the year, cash flow from operations is P4.3 billion, excluding working capital, which is P9.6 billion.

By practicing prudent cost management during the past year, the business saved PHP 0.9 billion for the entire group.
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The Philippines is still being advanced by Shell Pilipinas. Mobility volume increased by 4% because of loyalty programs and targeted marketing campaigns offered through the Shell GO+ app. To improve the client experience even more, the business was successful in acquiring new loyalty partners.

In addition to growing its customer base, Fleet Solutions, Mobility's B2B division, partnered with them to advance their decarbonization initiatives via the Accelerate to Zero program.

Retail sales other than fuel grew by double digits, or 13%. Increased sales of lubricants, a spike in the sale of food and beverages, and strategic alliances with lifestyle and other brands were the main drivers of this. With the opening of 13 new locations, Shell Café saw a 40% rise in food sales and a doubling of its coffee sales.
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In partnership with Seven/NEO in BGC, Shell Pilipinas introduced a new destination charger that is fully powered by geothermal energy, marking another step forward in the development of electric mobility. Through its carbon compensation program, the company's commercial division sold carbon credits worth about 10 trees.

Furthermore, the lubricants business maintained its position as the industry leader in e-commerce platforms, and aviation volumes grew by 12% in comparison to the previous year, indicating a rebounding airline sector. Throughout the year, the construction and road sector effectively finished a number of infrastructure restoration projects that will guarantee the integrity of national highways and the maintenance of assets.
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As the nation is expected to grow in 2024, Shell Pilipinas is positioned for even greater prosperity.

​"At Shell Pilipinas, we're committed to being a driving force in the Philippines' energy sector. By prioritizing innovation, efficiency, and solutions that put our customers first, we're paving the way for a future that's not only more resilient, but also more sustainable, “Quiambao-Osial said.