Publicly listed companies in the Philippines grew their combined year-on-year net profit in the first semester by 10.8 percent to P311.57 billion, reversing the slump seen in the same period last year. AFP FILE PHOTO
MANILA, Philippines–Publicly listed companies in the Philippines grew their combined year-on-year net profit in the first semester by 10.8 percent to P311.57 billion, reversing the slump seen in the same period last year.
Combined revenue of these listed companies likewise rose by 28.8 percent year-on-year to P3.27 trillion, based on a report from the Philippine Stock Exchange on Tuesday.
“The growth in revenues and net incomes support the valuations that investors have been placing in our market. What the numbers essentially show is that the rise in our index is driven by strong fundamentals among our listed companies,” said PSE president and chief executive officer Hans Sicat.
The collective profit of companies comprising main stock barometer PSE index rose by 9.9 percent in the first half of the year to P221.48 billion, accounting for 71.1 percent of the total market’s net income.
For the overall market, five of the six sectors showed growth in their combined profit during the semester. They were led by services, which posted the biggest jump in consolidated income of 43.3 percent to P46.61 billion.
The combined income of the property sector grew 35.1 percent due to non-recurring gains and the strong performance of property development, commercial leasing and services businesses of real estate firms.
The mining and oil sector reported a 31.5-percent year-on-year improvement in collective profit during the period.
In the meantime, the holding firms and industrial sectors posted 22.7 percent and 16.8 percent increase, respectively, in consolidated earnings. Companies in the holding firms sector realized foreign exchange gains and saw strong contributions from their business units while industrial firms registered robust revenues and sales volume.
“The Asean (Association of Southeast Asian Nation) integration will require our companies to be competitive both locally and regionally. We hope that fortified operations domestically and the additional revenue stream from ventures overseas will help make our companies more profitable,” Sicat added.