Infrastructure conglomerate Metro Pacific Investments Corp. said Wednesday it earmarked P80 billion for 2023 capital expenditures primarily to fund the expansion projects of power generation, toll road and water distribution businesses.
MPIC chief finance officer Chaye Revilla-Cabal said in a news briefing that while the bulk of this year’s capital spending would be for core businesses, the conglomerate was also prepared to deepen its foothold in the agriculture sector where it allotted P8 billion to fund acquisitions.
Cabal said the agribusiness group was looking at two more acquisitions this year as the group continued to build up its portfolio.
“The vision is to make agriculture a core pillar of MPIC group over time and make it big as Maynilad or hospital group,” Cabal said.
MPIC, through Metro Pacific Agro Ventures Inc., has four projects in the areas of vegetables, dairy and coconut processing.
MPIC reported a net income of P10.4 billion in 2022, up 4 percent from P10.1 billion in 2021, boosted by the strong performance of power and toll road units.
Cabal said core net income, which excludes one-time items, grew at a faster rate of 15 percent to P14.2 billion.
MPIC booked P5.7 billion one-time gain from the sale of Global Business Power and Don Muang Tollways in 2021.
Power accounted for P12.4 billion or 65 percent of net operating income, followed by toll roads which contributed P5.7 billion or 30 percent.
Water distribution delivered P2.66 billion, down 4 percent from P2.76 billion a year ago, while the other businesses—light rail, healthcare, agribusiness, real estate and fuel storage—incurred a loss of P1.8 billion.
Revilla said the company was expected to sustain the 15-percent net income growth in 2023, given the continued strong volume from power generation, toll roads and water distribution.
“If things pan out and do well based on first two months results, then we would likely hit the same,” Cabal said.
The share price of MPIC fell 4.5 percent Wednesday to close at P4.19.
