KUALA LUMPUR: Petronas Dagangan Bhd
(PetDag) has reported a lower net profit of RM283mil in the first quarter ended March 31, 2026 (1Q26), compared to RM293.5mil in the same quarter a year ago, due to higher product costs and expenditures, which lowered the commercial segment’s contribution.
In a filing with Bursa Malaysia last Friday, PetDag said the lower profit was partially offset by higher gross profit from the retail segment following upward movement in Mean of Platts Singapore or MOPS prices.
Revenue increased to RM11.15bil during the quarter under review from RM9.09bil in the previous corresponding quarter, supported by higher average selling prices and stronger sales volumes.
Sales volume increased by 7% across all segments, driven by higher demand.
Its managing director and chief executive officer Azrul Osman Rani said in a volatile market, the group’s priority is to keep customers moving with reliable fuel supply, consistent service quality and convenience at every customer touchpoint.
“The 1Q26 reflects the strength of our core business and the discipline of our teams.
“We will stay focused on operational excellence and customer centricity as we respond quickly to cost and market pressures,” he said.
In addition, he said that while conditions remain dynamic, the group is confident in its ability to navigate challenges across both its retail and commercial segments, and to continue strengthening its customer value proposition and deliver long-term value.
According to PetDag, the group’s operations were affected by volatility in crude oil prices.
“In 1Q26, the average Brent crude price stood at US$81.13 per barrel, an increase of 27.3% as compared to the preceding quarter, following escalating tensions in West Asia arising from the US-Iran conflict in late February.
“The retail segment closely tracks movement in oil prices, supported by long-term back-to-back contracts with its supplier, while the commercial segment recorded lower profit primarily due to increased product costs arising from the steep increases in prices,” it said.
Regarding prospects, PetDag said geopolitical tensions in West Asia remain elevated, with the conflict’s uncertain trajectory reinforcing the need to remain cautious, given the potential disruption to global energy supplies and supply chains.
“Against this backdrop, PetDag remains focused on sharpening its strategic priorities and enhancing operational efficiency through deeper customer engagement and disciplined cost management.
“The group will stay the course, executing with consistency and rigour despite global uncertainties, while continuing to deliver resilient and steady performance,” it said.
PetDag has declared an interim dividend of 18 sen per ordinary share for 1Q26. — Bernama
