China Aviation Oil posts 4.7% rise in Q1 earnings

A file photo of a China Aviation Oil technician refuelling a plane at Beijing's Shoudu Capital Airport.
A file photo of a China Aviation Oil technician refuelling a plane at Beijing's Shoudu Capital Airport. PHOTO: BLOOMBERG NEWS

SINGAPORE - Jet fuel trader China Aviation Oil (CAO) saw first-quarter earnings climb 4.7 per cent, thanks to higher gross profit and an increase in contributions from the group's associated companies.

The group on Tuesday posted a net profit of US$25.3 million (S$35.3 million) for the three months ended Mar 31, up slightly on the US$24.1 million in the same period a year earlier.

Revenue rocketed 126.1 per cent to US$3.31 billion from the US$1.46 bililon previously.

This was driven largely by higher supply and trading volumes of middle distillates and other oil products, which jumped 49 per cent to 7.3 million tonnes for the quarter, from 4.9 million tonnes a year ago, said CAO in a statement.

Gross profit grew 17.4 per cent to US$15.5 million on the back of higher gains derived from trading and optimisation activities. The group's share of profits from associates climbed 5.1 per cent to US$14.9 million, backed by higher profit contributions from CAO's key associate Shanghai Pudong International Airport Aviation Fuel Supply Company.

Earnings per share came in at 2.94 US cents, higher than the 2.81 US cents previously. Net asset value per share stood at 78.84 US cents as at Mar 31, compared with the 75.53 US cents as at Dec 31 last year.