GOTIANUN-LED conglomerate Filinvest Development Corp. (FDC) recorded a 25% increase in its first-quarter (Q1) attributable net income to P3.6 billion from P2.9 billion last year, led by its banking, real estate, hospitality, and sugar segments.
First-quarter consolidated net income rose 21% to P4.5 billion from P3.7 billion a year ago, FDC said in a statement to the stock exchange on Thursday.
Total revenue and other income increased 11% to P29.3 billion.
FDC said revenue and other income from the banking segment rose 18% to P13.9 billion; real estate improved 13% to P6.8 billion; hospitality grew 21% to P1.2 billion; and sugar increased 7% to P2.4 billion.
The power segment saw a 7% drop in revenue and other income to P5 billion.
“We started the year with a strong performance by all business units. We look forward to sustaining this momentum for the remainder of the year despite emerging challenges in some business segments,” FDC President and Chief Executive Officer Rhoda A. Huang said.
Revenue growth of banking subsidiary East West Banking Corp. was driven by a 15% increase in consumer loans, resulting in a 13% rise in net interest income to P9.3 billion during the period.
The real estate segment generated 13% higher revenues from increased residential sales and mall rentals.
Residential sales rose 9% due to higher demand from the middle-income segment in key areas such as Cavite, Laguna, Batangas, Rizal, Visayas, and Mindanao. Mall and rental revenues climbed 19% on higher occupancy and foot traffic.
The property business includes subsidiaries Filinvest Land, Inc., Filinvest Alabang, Inc., and Filinvest REIT Corp.
Revenue from hotel operations under Filinvest Hospitality Corp. increased 21%, led by higher occupancy, better room rates, and improved contributions from the food and beverage segment. Its portfolio includes seven hotels with 1,800 rooms and two 18-hole golf courses in Clark, Pampanga.
Meanwhile, the power business, led by FDC Utilities, Inc., posted P1.2 billion in net income contribution and P5 billion in revenue on lower average prices and volume sold during the period, due to the extended colder season in the first two months of the year.
FDC shares rose 2.71%, or 12 centavos, to P4.54 apiece on Thursday. — Revin Mikhael D. Ochave