Aboitiz Equity Q1 net income up

MANILA  -The Aboitiz family conglomerate Aboitiz Equity Ventures (AEV) closed the first quarter of 2023 with “promising” results after booking a modest profit increase.

From January to September, net income rose 2 percent to P4 billion while earnings before interest, tax, depreciation and amortization, a measure of profitability, jumped 38 percent to P17.9 billion.

“Our first quarter results are promising as the product of our team’s unwavering dedication and relentless innovation,” AEV president and CEO Sabin Aboitiz said in a stock exchange filing on Friday.

“As we move into the second year of our Great Transformation, we continue to lay a strong foundation for our techglomerate” future, fostering a culture of growth and adaptability that will carry us through the rest of the year and beyond,” he added.

The company’s core portfolio firms are Aboitiz Power Corp. Union Bank of the Philippines, Pilmico Foods Corp., Aboitiz Land and Aboitiz InfraCapital.

Power accounted for the bulk of earnings, followed by financial services, real estate and infrastructure while the food business posted losses during the period.

Aboitiz Power closed the first quarter with a net income of P7.5 billion, up 181 percent.

UnionBank and subsidiaries posted a net income of P3.4 billion, up 30 percent.

Aboitiz Land booked a net income of P127 million, down 15 percent.

Aboitiz InfraCapital contributed P375 million to the parent, an increase of 108 percent.

Pilimico Foods, Pilmico Animal Nutrition Corp , and Pilmico International Pte. Ltd. widened losses in the first quarter versus the same period in 2022.

“This was due to a weaker [year-on-year] operating performance from the food and nutrition and agribusiness segments resulting from demand challenges and higher raw material costs. This was worsened by higher interest expense from higher interest rates and loan borrowings,” AEV said.