Publicly listed Phoenix Petroleum Philippines Inc. posted a 27-percent jump in sales revenue to P5.883 billion in 2009 from the previous year’s P4.615 billion due to the growth of its retail network, commercial accounts, and lubricants business.
In a statement, Phoenix Petroleum said it was also able to increase its market share based on volume to approximately 1.2 percent in 2009 from a year-ago level of 0.67 percent.
In Mindanao, Phoenix Petroleum cornered 13 percent of the market in terms of retail stations, making it the fourth biggest oil company and largest independent in the south. From 86 stations in 2008, Phoenix Petroleum had 120 operational stations as of end-2009—97 in Mindanao, one in Visayas, and 22 in Luzon.
“The growth in our sales and market share is a result of aggressive marketing and franchising, as well as enhanced operations supporting our retail network,” said Phoenix Petroleum president and CEO Dennis Uy.
According to Uy, the company inaugurated in July 2009 its 50-million-liter terminal at the Phoenix Petroterminal and Industrial Park in Calaca, Batangas to serve as its hub in Luzon.
The company also introduced in 2009 a toll-free number for franchising, 1-800-10-PNX-FUEL, a first in the industry, and rolled out its “Raise a Phoenix” ad campaign featuring world boxing champion Manny Pacquiao.
Phoenix has been aggressively looking for prospective business partners and financial investors who could help the oil company in its bid to become the number one independent player in the retail fuel business.
Government pension fund Social Security System in November acquired 2.83 percent of the capital outstanding stock of Phoenix Petroleum for P42 million.
Uy earlier said the company has been planning to offer to strategic investors another 20 percent of the oil company’s outstanding shares to help raise capital.
Proceeds would be allocated for additional working capital to support the aggressive expansion of the company’s retail distribution network for 2010.
For this year, Phoenix has earmarked P500 million for its capacity expansion. Uy said that of the amount, P200 million will be allocated to put up 40 to 50 service stations, while the remaining P300 million will be used to put up depots and for logistics facilities.
The planned service stations, which are expected to cost anywhere between P3 million and P8 million, will be located in Luzon and Mindanao.