Bangkok: Bangchak Corporation reported a significant increase in revenue for the second quarter of 2026, achieving a total of 183 billion baht amidst challenging global energy market conditions.
According to Thai News Agency, Bangchak Corporation's revenue from sales and services reached 183,553 million baht, marking a 29% increase compared to the previous quarter. The company's EBITDA rose by 46% to 25,968 million baht, while the net profit attributable to the parent company nearly doubled, reaching 12,239 million baht. This impressive performance resulted in earnings per share of 8.34 baht. The company's strategic move into the sustainable aviation fuel (SAF) market also contributed significantly to its growth, despite ongoing uncertainties in the global energy landscape.
Mr. Chaiwat Kovavisarach, Group Chief Executive Officer and President of Bangchak Corporation Public Company Limited, attributed the company's improved performance to the reversal of unrealized losses from the previous quarter's mark-to-market valuation. This led to reduced losses from oil hedging contracts and the recognition of unrealized gains. The commencement of commercial production and sales of SAF, with substantial sales and a favorable price spread, played a crucial role in driving the group's performance this quarter, with prospects for long-term growth. However, the company remains vigilant about potential impacts from energy price volatility and geopolitical factors.
The refining, marketing, and bioenergy business group experienced an increase in EBITDA, driven by improved oil product price spreads. The marketing business managed to offset lower sales volumes with higher net marketing margins, while the bioenergy sector benefited from increased biodiesel sales and the initiation of SAF production. The power and infrastructure business saw a seasonal decline in electricity sales but gained from the expansion of data centers in the United States. Additionally, the natural resources business profited from higher natural gas prices.
Bangchak Group's commitment to future energy businesses was evident with the commercial production of SAF and the attainment of 39 million liters in sales. The company leveraged the high SAF-UCO price spread to recognize EBITDA from SAF operations for the first time. In response to the global energy crisis, Bangchak Group focused on supporting the country's energy security and improved operational efficiency, leading to significant synergy benefits and business enhancements.
In a strategic move to expand its international operations, Bangchak Corporation, through its subsidiary Bangchak Hong Kong Holding Limited, acquired Chevron Hong Kong Limited and rebranded it as Bangchak Hong Kong Limited. This acquisition includes 31 service stations, oil depots, and port facilities in Hong Kong, positioning the company for further growth in the oil retail sector.
The report by Ms. Patrapuree Chinkulkitniwat, Chief Financial Officer and Senior Vice President, Financial Management Group, detailed the performance of each business group, highlighting the refinery business's improved revenue and EBITDA figures. The marketing business saw a recovery in net marketing margins, while the bioenergy sector benefited from biodiesel sales and SAF production. The oil trading business group achieved higher revenue and EBITDA due to increased trading volumes and improved shipping performance. The natural resources business group capitalized on rising LNG and natural gas prices, despite recording an impairment loss in certain assets.
The electricity and infrastructure business group reported a surge in revenue and EBITDA, driven by the natural gas power plant business in the United States and increased electricity sales from hydropower projects in Laos. For the first half of 2026, Bangchak Group's revenue and profitability saw a significant increase, solidifying its position as a leading company in Southeast Asia, as recognized by Fortune Southeast Asia 500.
Bangchak Group's financial stability was underscored by its cash reserves, total assets, and shareholders' equity as of June 30, 2026. The company's inclusion in the SET50 index further reinforced investor confidence in its long-term growth and value creation prospects.