Stock Loss Pressures TOP to Report a Net Loss of ฿13.7Bn in 1Q20

Thai Oil Public Company Limited (TOP) has reported its 1Q20 consolidated financial statement through the Stock Exchange of Thailand as follows;

TOP reported a net loss of 13,754 million baht in 1Q20, contrasted to its net profit of 4,408 million baht in 1Q19 mainly due to a record of 10,772 million baht of stock loss in the quarter whereas the company recorded a net gain of 2,473 million baht in 1Q19.

Moreover, TOP had sales revenue of 76,652 million baht, decreased by 14,974 million baht or 16% mainly from lower product selling prices and total product sales volume and booked lower GIM excluding stock gain/(loss) by 3.1 US$/bbl mainly from a significant plunge in gross refining margin tracking 1) declines in petroleum products from COVID-19 pandemic, and 2)  a decline in aromatics margin due to excessive supply from startup of new aromatics plants in China.

The company had loss on fair value measurements of financial instruments of 377million baht and larger net foreign exchange loss of 2,990 million baht.