Petrolimex aims for a profit of 2,000 billion VND in 2014.

Vietnam National Petroleum Group's consolidated pre-tax profit this year is expected to reach VND 2,000 billion, a 1% decrease compared to last year.

The Vietnam National Petroleum Group (Petrolimex)'s 2014 business plan was approved by shareholders at its annual general meeting held on May 24th. Accordingly, consolidated pre-tax profit for 2014 is projected to reach VND 2,000 billion, a 1% decrease compared to 2013.

Petrolimex stated that domestic fuel consumption is likely to decrease this year, leading to intense competition among fuel distributors for market share. Furthermore, tightened import and re-export regulations could result in a decline in production this year.

Petrolimex General Director Tran Van Thinh affirmed that the company will leverage its comparative advantages to further improve business efficiency; focusing on boosting business activities at petrol stations to increase the supply of goods and services for Petrolimex.

"The corporation will continue to expand into non-core and overseas markets to support its struggling petroleum business," Mr. Thinh pledged.

In 2013, Petrolimex achieved consolidated revenue of VND 195,927 billion and after-tax profit of approximately VND 1,579 billion. Of this, the petroleum business generated pre-tax profit of VND 849 billion. Analyzing the petroleum profit, the General Director of Petrolimex explained that the purchase price of refined petroleum products in 2013 was 3-4% lower than the previous year, and the foreign exchange rate was relatively stable. “The management approach of the state petroleum regulatory agency in 2013 was more closely aligned with global fluctuations, and the standard profit margin was gradually incorporated into the base price calculation structure,” Mr. Thinh stated.

This year, Petrolimex expects to export 9.2 million cubic meters of petroleum products in Vietnam, Laos, and Singapore. The group's consolidated revenue is projected to reach 200,000 billion VND.

According to VOV