Empresas Lipigas S.A. announced its consolidated financial results for the for the period ended December 31, 2021.

Highlights for the last 12 months:

  • Overall, results are affected by the sharp increase in the international price of oil by-products, which increased 125% compared to the average of 2020.
  • EBITDA reached CLP 105,036 million, 9.1% higher than the previous year (CLP 96,274 million). Due to the effects of the pandemic, EBITDA as of December 2020 had decreased by 8.2%. Chile increased its EBITDA by CLP 3,825 million (+4.8%) due to higher LPG and NG sales volume and higher gross margin, prompted by a higher proportion of sales to end customers of bottled LPG and the effect of price increases on inventories. As of December 2020, EBITDA had decreased by 9.0%. In Peru, EBITDA increased by CLP 6,001 million due to non-recurring effects in the first quarter, lower operating expenses and higher sales volumes. In Colombia, EBITDA decreased by CLP 1,064 million due to lower unit gross margin.
  • Consolidated LPG sales volume increased by 8.1%. Despite the continuing effects of the COVID-19 pandemic in several customer sectors, sales volume was higher than in the previous year.
  • Consolidated sales volume in equivalent LPG tons (including sales of network natural gas, compressed natural gas and liquefied natural gas) increased by 9.4%, with an 18.7% increase in sales of natural gas in its different formats.
  • Income after taxes increased by 31.4%, mainly due to a better non-operating income of CLP 11,252 million, impacted by one-off effects during the year, in addition to a higher EBITDA of CLP 8,762 million.

Highlights 4Q 2021:

  • As mentioned above, during the fourth quarter of 2021, results have been affected by the sharp increase in the international price of oil by-products, which reached levels that had not been recorded since 2013. While there are positive effects due to higher inventory prices, rising prices put pressure on commercial margins.
  • EBITDA reached CLP 20,731 million, 9.7% lower than the previous year (CLP 22,955 million). Chile’s EBITDA decreased by CLP 4,490 million (-23.7%) due to a lower unit gross margin and higher operating expenses, partially offset by an increase in sales volumes due to higher consumption by industrial and commercial customers, higher participation in the sale of bottled products to end customers, and a positive effect of price increases on product inventories. Colombia’s EBITDA decreased slightly by CLP 83 million due to a lower gross margin, partially offset by lower operating expenses and higher LPG sales volume. Peru increased its EBITDA by CLP 2,348 million due to higher LPG and NG sales volumes and higher unit gross margin.
  • Consolidated LPG sales volume increased by 5.0%. Despite the continuing effects of the COVID-19 pandemic in several customer segments, sales volume was higher than in the fourth quarter of the previous year. Consolidated sales volume in equivalent LPG tons (including sales of network natural gas, compressed natural gas and liquefied natural gas) increased by 6.7%.
  • Income after taxes increased by 79.2% due to lower negative non-operating income, impacted by one-off effects during the quarter.

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