Weak cement business weighs down SMC earnings in 2024

San Miguel Corp. posts lower 2024 earnings

MANILA, Philippines – Earnings of Ramon Ang-led San Miguel Corp. (SMC) slipped by 18 percent to P36.7 billion last year due to foreign exchange adjustments and a weak cement business.

Excluding nonrecurring items, SMC’s core net income jumped by 22 percent to P52.3 billion on higher sales volumes across its core units.

Revenues inched up by 9 percent to P1.6 trillion.

“We remain focused on strengthening and making our businesses more efficient, while driving sustainability and long-term growth,” SMC chair and CEO Ang said in a statement on Monday.

San Miguel Food and Beverage had its sales grow by 6 percent to P400.9 billion on higher volumes and market expansion. Its bottom line likewise rose by 7 percent to P40.9 billion.

Power under San Miguel Global Power Holdings Corp. saw a 21-percent surge in revenues to P205.1 billion. This was on the back of a 45-percent rise in offtake volume to 36.6 million megawatt-hours as more customers bought electricity.

Petron Corp.’s revenues increased by 8 percent to P868 billion on the strong performance of domestic operations, as well as its Singapore-based trading subsidiary.

San Miguel Infrastructure, on the other hand, grew its revenues by 7 percent to P37.5 billion on a rise in daily traffic and gains from ramping up toll roads.

SMC’s cement business under Eagle Cement Corp., Northern Cement Corp. and Southern Concrete Industries Inc. continued to suffer from lower average selling prices. The segment’s revenues dipped by 6 percent to P34.9 billion.