SMC ’12 profit jumps by 57%
Conglomerate San Miguel Corp. grew its attributable net income by 57 percent to P27.6 billion last year led by higher earnings from its beer, food, power generation and packaging businesses.
Consolidated net income before minority interest grew by 35 percent to P38.6 billion due to greater gains from the other investments and favorable foreign exchange rates.
Group-wide sales revenues expanded by 30 percent to P699 billion, with each major operating unit contributing to its growth. Cash flow as measured by earnings before interest, taxes, depreciation and amortization went up by 1 percent to P78.1 billion.
Revenues from new businesses jumped by 46 percent over year-ago levels, accounting for more than 70 percent of total revenues last year. San Miguel’s core beverage, food, and packaging businesses, on the other hand, posted a year-on-year increase of 4 percent.
“Our performance over the last 12 months points to the strategic value of our growing portfolio. It’s the result of the discipline that we have brought to our day-to-day operations, and our success in making the most of synergies among our subsidiaries,” SMC president and chief operating officer Ramon S. Ang said in a press statement on Thursday.
“Despite the many challenges of the previous year, our core businesses continued to show marked and sustained improvement, while our new businesses, as intended, have added scale, stability, and robust revenue streams.”
Consolidated operating income stood at P52.8 billion, 6 percent lower than in the previous year.
The operating units performed in 2012 as follows:
San Miguel Brewery grew its operating income by 9 percent to P22.37 billion. Despite flat sales volume, net sales went up by 5 percent to P75.58 billion on improved management of fixed costs. Revenues from international operations rose by 6 percent.
SMC Global Power grew its operating income by 2 percent to P17.1 billion. This was supported by a 4-percent rise in revenues to P74.7 billion as its Sual, Ilijan, and San Roque plants generated a total of 15,250 gigawatt hours, 6 percent higher than in the previous year. Capacity utilization was higher at 71 percent compared to 67 percent in 2011 due to higher bilateral requirements despite various forced outages. Consolidated off-take volume grew by 7 percent to 15,961 GW hours.
Ginebra San Miguel pared its operating losses down to P566 million from P891 million in 2011. Total domestic volumes for the company reached 23.8 million, 5 percent lower than the previous year;
San Miguel Pure Foods Co. grew its sales revenues by 7 percent to P95.8 billion but operating income eased by 14 percent to P5.25 billion due to cost pressures on the agro-industrial business cluster early in the year. But net income attributable to the equity holders of the parent company, rose by 3 percent to P4.23 billion;
San Miguel Yamamura Packaging Corp.’s operating income went up by 6 percent to P2.3 billion due to improvements in efficiency and cost structure. Consolidated revenues reached P24.5 billion, up by a modest 1 percent from the previous year;
Petron Corp.’s operating income declined by 38 percent to P9.39 billion while net income before minority interest dropped by 73 percent to P2.3 billion. Net sales were up by 55 percent to P424.795 billion with the consolidation of Malaysian operations.
