Petron Corp. reported a 27% decline in net profit for the first half of the year, citing rising costs driven by hostilities in the Middle East.
The Manila-based energy company, led by billionaire Ramon Ang, disclosed the results on Tuesday, marking a sharp downturn from the previous year's performance.
The earnings drop underscores the vulnerability of downstream refiners to geopolitical instability.
While major oil producers are capturing windfalls from elevated fuel prices amid the ongoing conflict between the United States and Iran, companies like Petron face margin compression as input costs surge.
The disruption to global supply chains has created a divergent impact across the energy sector, with upstream beneficiaries contrasting sharply with downstream pressure.
This development adds to a broader narrative of challenging trading environments for energy and retail sectors globally.