MANILA, Philippines - Petron Corp. returned to profitability in 2009 on the back of stable oil prices.

In a statement, Petron said it booked a net income of P4.3 billion last year, a turnaround from the P3.9 billion loss in 2008, on stable prices of crude oil and finished products.

Its sales volumes reached 40.19 million barrels compared to 39.88 million barrels in 2008, but sales revenues were down 34% at P176.5 billion due to lower selling prices of petroleum products.

"Despite weak economic activity and cutthroat competition, we managed to turn around the financial performance of the company in 2009," Petron Chairman and Chief Executive Ramon Ang said.

"More importantly, we remained focused on our business initiatives and implemented several major projects that put us in a better position to sustain our growth momentum," he added.

Last year, Petron embarked on the largest retail network expansion program in its history, opening 200 new service stations nationwide. As of January 2010, the company’s service station count stood at 1,463, the largest retail network in the country.

The company plans to continue its expansion program over the next few years to ensure its market dominance, it said.

Petron will also continue with its diversification, "to create more value for the company," noted Ang.

In 2009, it commissioned a facility for the production of petrochemical feedstocks, which are used in a variety of industrial applications including the manufacture of home appliances, machine housings, etc.

Petron is the Philippines' biggest oil refiner, supplying nearly 40% of the country's fuel needs.

Food-turned-power conglomerate San Miguel Corp. has an exclusive option until December 2010 to acquire 50.1% of Petron from British investment firm Ashmore Group.