PHINMA Corp. plans to pursue the expansion of its business units as the country is expected to sustain its economic recovery.
PHINMA chairman and chief executive Ramon Del Rosario said in a message to shareholders that while challenges still loom locally such as high interest rates and upside risks to inflation due to the El Niño phenomenon, the developments in tourism and infrastructure and the government’s mass housing projects would help spur domestic economic activity.
PHINMA Education is looking to expand further in Southeast Asia in 2024 after its recent investment in Indonesia through Horizon University.
PHINMA Education president and chief executive Dr. Chito Salazar said the group is now looking at other locations in Indonesia. It is also exploring investment opportunities in Cambodia, Laos and Vietnam.
PHINMA Construction Materials Group recently secured a strategic partnership with Petra Cement Inc. in Mindanao. It is also planning to build a new cement plant in Davao worth P2 billion.
These projects will boost the group’s total capacity to about 5 million tons. PHINMA Construction operates a cement plant in Mariveles, Bataan.
PHINMA Property Holdings Corp. also aims to venture into socialized housing to cater to the underserved and low-income sector.
“What we hope to do is develop a successful model for this, finding a balance between serving our mission of making lives better and compliance with the price ceiling for these properties as set by the government,” said PHINMA Properties president and chief executive Raphael Felix.
The group has developments under construction in Cebu City and Batangas.
Meanwhile, PHINMA Hospitality Inc. is looking to expand its hotel portfolio by pushing for more franchising opportunities for the Microtel and TRYP brands.
“Given the strong outlook on domestic and international tourism, PHINMA Hospitality is optimistic for the coming years. Microtel and TRYP by Wyndham Mall of Asia are expected to benefit from the build-up in demand from their key markets as more people embark on business and leisure travel,” the company said.
PHINMA earlier said it would spend P4.5 billion in 2024 to finance the expansion of core businesses.
“We expect very healthy growth as these expansion plans come together,” said PHINMA chief finance officer Qua Hiansen.
The company registered core net income of P1.67 billion in 2023, up 40 percent from a year ago as revenues increased by a fifth to P21.27 billion.