Conglomerates Ayala Corp. and LT Group Inc. booked higher first-quarter profits on strong contribution from their core businesses.
Ayala said in a disclosure to the stock exchange Tuesday its first-quarter net income jumped 28 percent to P12 billion as consolidated revenues expanded 11.3 percent to P87.27 billion.
LT Group of tycoon Lucio Tan said its attributable net income in the first quarter rose 1 percent year-on-year to P6.42 billion on higher contribution from its banking and beverage businesses.
Ayala said its core net income, which excludes one-off items, rose 26 percent to P11.8 billion on higher contribution from banking, property, telecommunication and power generation businesses.
“We are seeing growth momentum across most of our businesses. This speaks to the resilience of the economy and our ability to provide products and services that are valued by customers,” Ayala president and chief executive Cezar Consing said.
Net income of banking unit Bank of the Philippine Islands (BPI) went up by 26 percent to P15.3 billion as strong revenue growth offset higher operating expenses and provisions. This was a new record quarterly profit for the bank.
Ayala Land delivered significant earnings growth in the first quarter, with net income increasing 39 percent to P6.3 billion while ACEN Corp’s consolidated net income rose 34 percent to P2.7 billion.
Meanwhile, Philippine National Bank (PNB) of the LT Group contributed P2.97 billion or 46 percent of the total income, followed by tobacco business, with P2.65 billion.
Tanduay Distillers Inc. contributed P254 million, while Asia Brewery Inc. (ABI), Eton Properties Philippines Inc. and Victorias Milling Company delivered P155 million, P116 million and P100 million, respectively.
PNB’s net profit climbed 10 percent to P5.31 billion, while LT’s tobacco business registered a 13-percent decline in net income to P2.66 billion
Tanduay’s net income in the first quarter went down by 13 percent to P255 million on lower liquor sales, while ABI’s net profit surged 107 percent to P155 million.
Property unit Eton recorded a net income of P116 million, down 5 percent despite a 12-percent increase in leasing revenues.
