CONGLOMERATE Lopez Holdings grew attributable net income last year by 65 percent to P6.19 billion, as the partial recovery of impairment losses related to its erstwhile telecom unit added to robust earnings from its power generation and broadcasting businesses.
Lopez Holdings and Bayan Telecommunications Holdings Corp. (BTHC) sold all their equity in Bayan Telecommunications Inc. (Bayan) in July 2015. The sale followed the conversion of Bayan debt into equity provided under the resolution of Bayan’s rehabilitation court.
Partial recovery of impairment losses related to BTHC/Bayan as a result of the sale amounted to P1.8 billion, net of related expenses.
Major investee companies First Philippine Holdings Corp. (FPH) and ABS-CBN Corp. also contributed to the favorable financial results. Lopez held an economic interest of 56 percent in ABS-CBN and 46 percent in FPH.
FPH reported a recurring net income of P5.2 billion, 11 percent higher than the previous year, on the strength of its power generation, manufacturing and geothermal well drilling businesses.
ABS-CBN reported a 25 percent increase in net income to P2.54 billion, driven by steadily growing revenue streams from both advertising and consumer sales. An election year also perks up political advocacy-related spending in the country, benefiting media companies.
Lopez Holdings’ consolidated revenues for the year eased by 3 percent to P96.51 billion.