Filinvest Development Corp., the listed holding company of the the Gotianun family, has earmarked over P40 billion for investment and capital expenditures this year to accelerate the expansion of its property and banking units.
This year’s programmed capital expenditure spending is 60 percent higher than P25 billion spent in 2016, Filinvest Development president Josephine Gotianun-Yap told reporters following the annual stockholders’ meeting held in Alabang.
Yap said the group allotted P20 billion in capital expenditures for property unit Filinvest Land Inc. and P10 billion for the hotel and property group under Filinvest Alabang Inc.
Filinvest Development allotted P12 billion for banking unit East West Banking Corp. and P2 billion for other other subsidiaries and possible additional equity investment in existing units.
The company in 2016 registered net income of P8.5 billion, up 21 percent from a year ago on the back of the strong performance of the banking and real estate businesses.
Consolidated revenues jumped 19 percent to P58.6 billion from a year ago level of P49.3 billion, with banking and real estates business accounting for 41 percent and 39 percent, respectively.
The power, sugar and hotel businesses contributed 13 percent, four percent and three percent, respectively.
The group’s power generation unit FDC Utilities Inc. last year completed its 3 x 135-megawatt coal power plant in Villanueva, Misami Oriental. It will start contributing to the group’s net income and revenues starting this year.
Filinvest Development began operations of Quest Hotel and Conference Center-Clark and two 18-hole golf courses in Mimosa Golf-Clark.
It will also soon start developing the 288-hectare initial phase of the Clark Green City, which will have various components, including industrial, commercial, office, manufacturing as well as residential projects.
The Filinvest group was the lone company that bid for the long term lease of the 228-hectare phase 1 of Clark Green City in 2015.
Clark Green City is a 9,450-hectare master planned property within the Clark Special Economic Zone in the province of Tarlac. It is envisioned to become the country’s first smart, green and disaster-resilient metropolis.