Filinvest Dev't profit jumps 12 pct in 2013

Posted at 04/14/14 10:45 AM

MANILA, Philippines - Filinvest Development Corp., the holding company of the Gotianun family, said its consolidated net income jumped 12 percent to P6.5 billion in 2013, driven by its real estate and banking operations.

FDC said consolidated revenues went up 17% to P34.8 billion in 2013 from P29.8 billion a year ago.

In a statement, FDC chairman Jonathan Gotianun said the robust performance of the group stemmed from positive results of all its major units, particularly Filinvest Land, Inc. (FLI) and Filinvest Alabang, Inc. and EastWest Bank (EWB).

Real estate and financial services contributed 89% of total group revenue, or 47% and 42% respectively. Sugar operations contributed 8% while hotel operations contributed 3% of total revenues.

"We look forward to improved performance in the group not only because of the strength of our real estate and banking businesses but also because we are optimistic about the prospects of our other operations," said FDC President and CEO Josephine Gotianun-Yap.

Yap noted that construction of its 405 MW power plant in Mindanao is in full swing, and is expected to be "the third major leg" of the FDC group by 2016.

As of end of 2013, FDC’s financial condition remained healthy with stockholders’ equity at P84.7 billion. Total assets rose 13% to P270.8 Billion. FDC ended 2013 with a cash balance of P30.8 billion, with long-term debt of P59.1 billion.

Property unit FLI reported a net income of P4 billion in 2013, 14 percent higher than the P3.5 billion it posted in 2012. Filinvest Land attributed the increase in profits to the 16% jump in total revenues from its residential, office and commercial business units to P13.6 billion in 2013.

Meanwhile, EastWest Bank's net income went up 13% in 2013, on the back of growth in its core businesses. Revenues in financial and banking services grew 28% to P14.6 billion.

FDC said year-on-year sugar sales and other income grew 12% to P2.8 billion in 2013, partly due to increased capacity due to investments in improvements in efficiency.

Hotel revenues and other income surged 40% to P1 billion in 2013, as it saw an increase in occupancy rate and an increase in room rate of Crimson Mactan and Crimson Alabang.