MANILA -The Gotianun family’s flagship conglomerate Filinvest Development Corp. (FDC) saw profits soar 146 percent in the first quarter of the year as its core banking, property and power business units saw robust earnings.
The group said net income from January to March reached P2.2 billion while revenues jumped 34 percent to P20.7 billion.
“We are pleased with the solid recovery of FDC having seen an acceleration in earnings across all the business units,” company president and CEO Josephine Gotianun-Yap said in a statement.
“The consistently high domestic demand driven by strong household consumption should bode well for our businesses that are strongly focused on the middle market,” she added.
Banking and financial services accounted for 44 percent of its quarterly profit. This was followed by the property business (28 percent), power (18 percent) while other segments contributed the remainder.
The conglomerate, which is allocating P35 billion this year to expand its real estate, renewable power and water businesses, also underscored its heathy balance sheet that will allow it “to pursue growth opportunities”.
“We expect to sustain this momentum moving forward given the continuous improvement in business activity in the country despite some macroeconomic headwinds,” Gotianun-Yap said in the statement.
EastWest Bank delivered a first-quarter net income contribution of P1.5 billion, up 272 percent, as net interest income climbed 17 percent to P6.1 billion.
FDC’s real estate group, comprised of Filinvest Land Inc. and Filinvest Alabang Inc., contributed P1 billion, up 10 percent. Property saw a 20 percent growth in mall and rental revenues to P1.8 billion while residential sales grew 4 percent.
FDC Utilities Inc. saw first quarter revenues and profit expand 25 percent to P3.3 billon and P614.3 million, respectively.
The company operates the 405-megawatt coal plant located in Misamis Oriental in Mindanao. The group also has investments in solar energy and water through FDC Water Utilities Inc.
Hotel operations saw a rebound as revenue more than doubled to about P686 million during the first three months of the year.
“The steady resurgence of tourism supported the increase in occupancy and room rates across all the operating properties, namely Crimson in Boracay and Alabang, and Quest in Cebu, Clark and Tagaytay,” FDC said.
The hotel group has 1,800 rooms across seven hotels in seven cities and five regions under the Crimson and Quest brands. It recently added Timberland Highlands Resort in Rizal in its portfolio.
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