Close  
  • share this

Expenses pull down AEV profit to P4.7B

/ 12:05 AM May 06, 2017

Conglomerate Aboitiz Equity Ventures (AEV) saw a 7-percent year-on-year drop in first quarter net profit to P4.7 billion as higher expenses gnawed on the earnings contribution of its flagship power business.

Excluding non-recurring items, AEV’s core net income for the quarter stood 5 percent higher year-on-year to P5.1 billion. The conglomerate booked non-recurring losses of P442 million – versus last year’s gain of P186 million – due to foreign exchange losses from dollar-denominated liabilities and mark-to-market losses on hedging instruments.

ADVERTISEMENT

Flagship Aboitiz Power Corp. contributed P3.4 billion this quarter, 13 percent less than last year, in line with the 13-percent decline in its overall net profit to P4.4 billion. The power generation business, which accounted for 81 percent of AboitizPower’s business, reported lower earnings due to higher interest and depreciation expenses from the initial take up of GNPower-Mariveles costs alongside an increase in foreign exchange and mark-to-market losses.

At the AEV level, power accounted for 67 percent of total earnings while banking and financial services, food, infrastructure and property businesses contributed 22 percent, 6 percent, 4 percent and 1 percent, respectively.

FEATURED STORIES

Cash flow as measured by consolidated earnings before interest, tax, depreciation and amortization stood at P12.7 billion, recording an increase of 14 percent year-on-year.

“Our performance reflects the underlying strength of our core operating businesses as we continue to invest for the future. In pace with the country’s upward growth momentum, we will use our gains to create long-term value for all our stakeholders,” Erramon Aboitiz, AEV president and chief executive officer, said in a press statement yesterday.

Union Bank of the Philippines’ (UnionBank) income contribution to AEV increased by 30 percent year-on-year to P1.1 billion.

Performances from other subsidiaries were mixed.

Read Next
LATEST STORIES
MOST READ
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Aboitiz Equity Ventures, Business, News
For feedback, complaints, or inquiries, contact us.
entertainment

Regular PH visits part of Andy Brown’s ‘life mission’

January 19, 2019 12:35 AM

entertainment

‘Sopranos’ gears up for prequel

January 19, 2019 12:30 AM

entertainment

Jett Pangan devastated by Razorback drummer’s suicide

January 19, 2019 12:25 AM




© Copyright 1997-2019 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.