Better margins from cooking gas sales, particularly in Luzon, despite the decline in prices, buoyed first-quarter net income of Mindanao-based Pryce Corp. to a 40 growth to P656.7 million.
Consolidated revenue for the quarter declined 9.5 percent to P4.69 billion due to an average 11 percent drop in contract price of liquefied petroleum gas to USD 633.67 per metric ton and the decrease in the LPG retail sales volume by 11 percent. Gross margin, however, jumped to 18.3 percent in the first quarter from just under 12.9 percent.
Pryce said the drop in LPG sales volume appears to be caused by consumer decision to more frequently eat out, as was the case before the pandemic. LPG revenue contributed the largest amount at P4.40 billion to group revenue, consisting of sales of cooking gas, cylinders, stoves, and accessories.
Aside from LPG, Pryce also sells industrial gases, real estate, and vitamins and supplements.
Industrial gases added P204 million to group revenue, real estate and interment service fees contributed P76.26 million while pharmaceutical products chipped in P14.58 million.
