Conglomerate PHINMA Corp. is bullish on the prospects of its construction, property and education businesses in 2023 amid the full reopening of the economy and improving macroeconomic conditions.
PHINMA said in a disclosure to the stock exchange it expected construction materials and property units to recover in terms of profit this year as global supply chains and foreign exchange rates continued to stabilize and input costs decreased.
The company said the profitability of subsidiary PHINMA Education Holdings Inc. would also improve as school opening schedules normalized.
PHINMA Education is expanding capacity in anticipation of continuing enrollment growth, it said.
The conglomerate said PHINMA Education became the country’s largest private education network in terms of student population as it registered 124,501 enrollees for school year 2022-23, up 30 percent from the previous school year.
PHINMA Education owns nine colleges and universities nationwide.
PHINMA said it expected its hotel business to post a strong recovery as occupancy rates and average daily rates continued to improve with leisure and business travel gaining momentum.
PHINMA reported a consolidated income of P1.5 billion in 2022, down 18 percent year-on-year on higher raw materials costs driven by global supply chain disruptions, a strong US dollar and increased education costs due to a revision in school opening schedules.
Consolidated revenues climbed 10 percent year-on-year to P17.7 billion.
PHINMA Construction Materials Group posted a net income of P494.9 million in 2022, down 45 percent from P902 million a year ago.
PHINMA Education also registered a 24.5-percent decline in net income in 2022 to P633 million from P839 million in 2021, due to a revision in the school opening schedules, reflecting nine months of regular semester for 2022, compared to eleven months in 2021.
