Viva Energy records strong half year results

Viva Energy is the distributor of Shell fuel and lubricants.

Crediting progress in implementing its strategic goals, Viva Energy Group demonstrated steady sales growth in its half year 2023 figures.

The energy company which owns the Geelong Refinery and is licensee of Shell fuels and lubricants reported sales of $12,722.8 million compared to $11,517.1 million the same time last year.

The Convenience and Mobility segment’s EBITDA of $123.7 million was an increase of 40 per cent on the same period last year, supported by a steady 4 per cent fuel sales growth across channels.

Meanwhile sales from the Commercial and Industrial division rose by 15 per cent with an EBITDA increase of 41 per cent, led by continued recovery in international aviation and strong demand from marine, resources and wholesale sectors.

“Our commercial and industrial businesses continued to deliver strong growth across all segments, without specialty markets continuing to support sustained and attractive long-term growth,” said Viva Energy CEO and Managing Director, Scott Wyatt.

“Although the energy and industrial businesses was unfavourably impacted by extended major maintenance in the second quarter, refining margins have lifted considerably over recent months as a result of tightness in international markets, and we look forward to our refinery returning to full production at Geelong in September.”

Among the company’s highlights for the first half was the integration of Coles Express, OTR Group Acquisition, securing a six-year contract with the Australian Defence Force and the announcement of plans to build renewable feedstock co-processing infrastructure.

Shareholders received $205.8 million from the final financial year 2022 dividend and the company expects to distribute $131.3 million through interim dividend this September.

Wyatt said it is continued strength and relative stability that is supporting dividends.

“I am pleased with our performance and the progress we are making on strategic priorities. Our continued capital discipline and strong balance sheet supports investments and acquisitions to deliver long-term growth.”

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