Aboitiz Equity Ventures Inc. registered a net income of P2 billion in the first quarter of 2020, down 42 percent from P3.5 billion recorded in the same period last year.
The company recognized non-recurring losses of P262 million during the period, compared with P334 million in non-recurring losses a year ago..
AEV attributed the losses to unrealized foreign exchange losses from the revaluation of dollar-denominated assets.
Without the one-off losses, the company’s core net income in the first quarter stood at P2.3 billion, down 41 percent year-on-year.
AEV recorded consolidated earnings before interest, tax, depreciation and amortization of P11.8 billion, down 5 percent.
“The strong showing of our banking and financial services and food units have helped shore up our operational performance, underscoring the resilience provided by a diversified portfolio. This same resilience will also help us face headwinds from Coronavirus Disease 2019 (COVID-19),” said Sabin Aboitiz, president and CEO of Aboitiz Equity.
The power business accounted for 55 percent of the total income contributions from AEV’s strategic business units, followed by banking and financial Services (46 percent), food (2 percent), infrastructure (1 percent) and real estate (-4 percent), respectively.
“We will continue to look for opportunities to keep the country’s economy moving as we carefully evaluate our business strategy,” Aboitiz said.
The income contribution of Aboitiz Power Corp. to AEV in the first quarter of 2020 decreased 43 percent year-on-year to P1.6 billion from P2.8 billion. Net income for the quarter was P2.1 billion, 43 percent lower on year.
AboitizPower’s generation and retail supply business recorded an EBITDA of P7.4 billion in the first quarter of 2020, 13 percent lower than P8.6 billion in the corresponding period last year. The variance was primarily due to the EBITDA in the first quarter of 2019 that included other income. Excluding that, the company’s EBITDA would have been lower by only 3 percent.
