SHELL Pilipinas Corp. saw its net income fall by nearly 80 percent last year, to P1.18 billion from P4.07 in 2022, amid headwinds such as oil price volatility, high interest rates and stubborn inflation.

Revenues narrowed to P253.3 billion from P292.6 billion that it remained resilient and that last year's net was the result of "improved marketing delivery and disciplined spending."

"In 2023, we lowered our gearing to 56 percent at the end of the year against 1H (first half) performance, through working capital optimization," it added.

"In the next two years, we aim to reduce spend by a total of P2 billion (operating expenses plus capital expenditures), and lower our gearing to below 50 percent while maintaining our attractive

dividend policy," it added.

Gearing is a measure of the company's debt to equity.

The company noted that oil prices, interest rates, inflation and "many other internal and external factors" had changed the competitive landscape.

It said that the company's strategy was refreshed last year to reflect "changes in the way we are going to do business, adapting to the evolving external environment."

The key strategic priorities are to regain strong earnings and cash and

dividend-paying positions; maximize value and capture new market

opportunities; and continue to elevate industry standards on

governance while remaining committed to advancing the energy transition.

Shell Pilipinas shares slipped 0.55 percent to P10.90 each on Thursday.