ROXAS AND CO., Inc. (RCI) reported a net loss attributable to equity holders of P195.12 million in the second quarter, wider by 13% compared with the previous year’s losses after the suspension of its operations due to lockdown protocols during the period.
The quarter’s net loss brings the company’s first-half losses to P341.92 million, an expansion of 35.9% from a year ago due to the effects of the Taal volcano eruption along with the business disruption from the quarantine measures to contain the spread of the coronavirus disease 2019 (COVID-19).
“The COVID-19 pandemic resulted in the temporary closure of all our hotel operations in Any Resort Tagaytay and Go Hotels in Metro Manila as well as the shutdown of the Roxas Sigma Agriventures, Inc. (RSAI) coconut processing plant in Tupi, South Cotabato,” the company said in its disclosure to the stock exchange.
RCI said its operating expenses for the first six months declined 9.5% to P168.46 million compared with P186.05 million in the same period a year earlier, as a result of the company’s continued efforts to cut controllable expenses.
Its consolidated revenues for the first half fell 50% to P206.25 million after the suspension of its hotel operations.
RCI said the Go Hotels resumed operations in mid-April but served as quarantine facilities for home-bound overseas workers while its RSAI plant reopened only in May.
Meanwhile, the company said it would proceed with its plans and projects to establish continued growth such as efforts to develop and increase processed coconut export sales and maximize plant capacity, and limit the land development of Hacienda Palico to the ongoing residential project in Nasugbu, Batangas in 2020.
“The company will be doing a reforecast of its directions and performance in order to determine if there is a need to provide for impairment losses,” the disclosure said.
RCI has interests in real estate, sugar and ethanol manufacturing. Some of its companies include RSAI, Roxas Holdings, Inc., and Roxaco Land Corp.
On Monday, shares in RCI fell 0.85% or P0.01 to close at P1.16 per share. — Revin Mikhael D. Ochave
