PetroChina posts record Q1 profit on higher oil prices
Net income is up at 48.33 billion from 46.8 billion yuan in the year-ago period
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[BEIJING] PetroChina posted its best quarterly profit, as China’s largest oil and gas producer benefited from rising energy prices due to the war in the Middle East.
Net income rose to 48.33 billion yuan (S$9 billion) in the first quarter, from 46.8 billion yuan in the year-ago period, the company said in a Hong Kong exchange filing on Wednesday (Apr 29).
The results come as global oil and gas prices remain elevated due to the effective closure of the Strait of Hormuz.
The elevated prices are supporting PetroChina’s upstream expansion and improving the profitability of chemicals, helping to offset pressure on its refining business.
China’s massive oil reserves have so far shielded it from the worst impacts of the conflict.
Beijing has stepped up efforts to safeguard energy security, halting fuel exports and asking major suppliers to maintain refining runs.
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PetroChina’s upstream operating profit fell 12 per cent in the three months ended March, even as output rose 0.7 per cent during the period.
The company attributed the drop to lower crude oil sales and prices, which lagged movements in the international market, it said in the filing.
Domestic consumption of refined oil products marginally increased in Q1, while natural gas demand remained stable, it added.
The company has pledged to boost spending and output in 2026, even after its profits were pressured in 2025 by structural oversupply.
Its gas sector reported a higher profit at 18.87 billion yuan, compared with 13.5 billion yuan in the year-ago period.
The marketing business recorded a 28 per cent increase in operating profit, driven by higher sales volumes and margins in its international trading business.
The company showed greater resilience by sourcing most feedstock from its own upstream operations. The refining, chemicals and new material sector reported a 54 per cent profit jump.
PetroChina’s peers Sinopec and Cnooc both reported better-than-expected profits in Q1, as they also benefited from rising global oil prices. BLOOMBERG
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