Dung Quat oil refinery operator BSR posts strong Q1 profit amid energy market volatility

Binh Son Refining and Petrochemical JSC (HoSE: BSR), the operator of Vietnam’s first oil refinery Dung Quat, reported estimated Q1 net profit of nearly VND3.35 trillion ($127.1 million), more than eight times higher than a year earlier, despite global energy market disruptions linked to Middle East tensions.

The company disclosed the figures at its AGM in Ho Chi Minh City on Monday, where shareholders reviewed business plans and strategic direction for the coming period.

BSR said it had navigated heightened volatility since late February, when conflict in the Middle East began weighing on global energy security, by adopting flexible operational and risk management measures.

In Q1, the firm produced 2.03 million tons of refined products, generating revenue of VND41.28 trillion ($1.57 billion), up 29% year-on-year. Net profit surged from around VND400 billion in the same period last year.

The company had achieved 27% of the year's revenue target after Q1 and significantly exceeded its profit target.

It attributed the strong performance to stable and efficient operations at the Dung Quat Oil Refinery, alongside efforts to optimize costs, improve operational efficiency, and manage risks.

Despite positive Q1 business results, the management has identified that the market in the remaining months of 2026 remains fraught with risks. Accordingly, it has set a production target of approximately 7.76 million tons and a sales target of approximately 7.71 million tons.

Consolidated revenue is projected at VND154,140 billion ($5.85 billion) and after-tax profit at approximately VND2,162 billion ($82.07 million), representing increases of nearly 9% and decreases of 59% respectively compared to 2025.

To meet its targets, the company said it would prioritize safe, stable and efficient refinery operations to ensure domestic fuel supply, while continuing to optimize costs and enhance performance through technology upgrades.

BSR also plans to accelerate key investments, particularly the upgrade and expansion of the Dung Quat refinery, to strengthen long-term competitiveness, alongside improving corporate governance and risk management systems.