PETRONAS Dagangan (PETDAG) Q3 2024 earnings summary

Executive summary

• Financial performance remained robust in Q3 2024, with profit before tax rising 70% year-over-year to RM445.9 million, driven by strong margins and higher sales volume, especially in Retail Mogas and aviation sectors.

• Year-to-date (YTD) results show revenue and gross profit growth, with cumulative nine-month revenue up 5% to RM28,958.0 million and profit before tax up 12% to RM1,168.8 million, supported by higher sales volumes and positive contributions from all business segments.

• All segments contributed to profit growth, with Retail and Commercial showing notable improvements.

Financial highlights

• YTD 2024 revenue rose 5% to RM28,958.0 million, with gross profit up 15% to RM3,421.2 million compared to YTD 2023.

• EBITDA increased 11% YTD, and PBT surged 14% to RM2,444.8 million.

• Q3 2024 revenue: RM9,726.9 million, down 2% year-over-year due to lower average selling prices, offset by 2% higher sales volume.

• Q3 2024 net profit: RM340.1 million, up from RM200.0 million in Q3 2023.

• Net cash generated from operating activities for nine months: RM3,005.6 million, up significantly from RM781.4 million last year.

Outlook and guidance

• Near-term outlook remains cautiously optimistic, with oil prices expected to average $81/bbl for FY2024 and hover around $76/bbl in Q4.

• Malaysia's GDP growth for 2024 is projected at 4.8%–5.3%, with domestic demand expected to remain strong and new policy initiatives under Budget 2025.

• The group will focus on operational efficiency, expanding both core and non-fuel segments, and leveraging digital platforms for customer engagement.