Despite market uncertainties, PV GAS TRADING still grows in 2024’s Q1
In 2024’s Q1, PV GAS TRADING continued to experience high growth in business, with LPG sales volume and revenue increasing by 67% and 57% respectively y-o-y.
In early 2024, the international LPG market has been fluctuating, deviating from previous trends. The Contract Price of Saudi Aramco has shown unusual developments, with prices announced for the early months of 2024 contradicting the forecasts of reputable forecasting organizations. Political conflicts and international maritime security tensions have increased the risk of supply chain disruptions, pushing maritime freight rates to high levels, with the Baltic Index varying significantly at high levels and constantly reversing.
The domestic market in Q1 of 2024 also faced extreme difficulties due to the downward trend in LPG demand for industrials and households from late 2023.
High and volatile prices, coupled with unrecovered demand, have created an atmosphere of cautiousness in the market, leading to careful business operations and hesitant trading. Fierce competition persists, and domestic transportation costs are rising, further darkening the outlook for the LPG business in Q1.
PV GAS TRADING organized an internal meeting to dicuss business strategies in 2024
In the face of this context, PV GAS TRADING remains steadfast in its growth objectives, to adapt quickly to the volatile environment. PV GAS TRADING has promptly implemented comprehensive solutions, including diversified supply sources, flexible sales policies, optimal inventory management, and reasonable distribution to support and accompany customers through difficult times, demonstrating its leading role in the market as Vietnam's number one gas trader.
In light of that, PV GAS TRADING has surpassed its first quarter’s business targets with impressive results: sales volume reaching 685 thousand tons (144% of the plan and a 67% increase y-o-y). Domestic consumption amounted to 392 thousand tons, (105% of the plan and a 9% increase y-o-y). Particularly, export volume and international business hit 293 thousand tons (286% of the plan and a six-fold increase y-o-y), with foreign markets making up for over 42%. The company achieved revenue of over VND 12,000B, (163% of the plan and a 57% increase y-o-y). PV GAS TRADING has proudly contributed the largest share to PV GAS' revenue (42%), playing an important role in fulfilling PV GAS' first quarter management plan assigned by Petrovietnam.
PV GAS Vung Tau Terminal is of great help for a LPG/CNG/LNG integrated business model
In the future, PV GAS TRADING will implement an integrated energy solution package following the Corporation's business model, seeking opportunities to supply materials for oil refining and international LNG trading, while continuing to closely follow targets and tasks and strive for the highest completion of the 2024 management plan.