Phoenix Petroleum Philippines Inc. of Davao-based businessman Dennis Uy is grappling with a worrisome financial situation, as its liabilities have outpaced its assets by the end of the third quarter of 2022.
According to a regulatory filing, the company’s current liabilities amounted to P44.9 billion, whereas its assets stood at P37.7 billion, a development that raises serious questions about the sustainability of its operations and its ability to honor its financial commitments.
The annual stockholders’ meeting of Phoenix, which was originally slated for the final Friday of April, has been rescheduled due to the company’s inability to submit its annual financial statements to the Philippine Stock Exchange.
In a notification to the stock exchange, the firm cited ongoing financial analysis and reviews as the reasons for the delay in submitting its annual report, which was due on April 17, 2023.
The delay in the release of the annual report has caused unease among investors and stakeholders about the company’s financial performance, given that Phoenix Petroleum recorded a net loss of P938 million as of the end of September 2022.
Adding to the worries are the liabilities that exceeded the current assets of Uy’s other listed companies, Chelsea Logistics and DITO CME, prompting Punongbayan & Araullo to raise concerns about the viability of these firms.
Given the financial concerns surrounding Phoenix Petroleum, investors and stakeholders are eagerly waiting for the company’s annual report to get a better understanding of its financial position and prospects for the future.