Facebook Instagram Linkedin X Youtube
Home Blog Page 10225

56 flagship projects to be completed by 2022

MORE than half of the 100 flagship projects under the government’s infrastructure program is expected to be completed by 2022, while nearly half will be funded through official development assistance (ODA), according to a preliminary copy of the revised list was sent by Albay Rep. Jose Maria Clemente “Joey” S. Salceda to reporters on Friday.

The document showed 56 out of 100 projects under the revised list are targeted for completion by 2022.

The first phase of the Land Transportation Office’s (LTO) Road Transport Information Technology Infrastructure Project, worth P8 billion and funded through the national budget, is set to be completed this year.

Twelve projects are on track to be completed by 2020, namely:

Bonifacio Global City- Ortigas Center Link Road Project;

Cagayan de Oro Coastal Road;

Metro Manila Bus Rapid Transit (BRT) Line 1 (Quezon Ave);

Clark International Airport Expansion Project Phase 1;

Light Rail Transit (LRT) Line 2 East Extension;

Samar Pacific Coastal Road Project;

Angat Water Transmission Improvement Project;

National Government Data Center;

Luzon Bypass Infrastructure Project;

Metro Manila Skyway Stage 3;

Laguindingan Airport; and

Agus 3 Hydroelectric Power Project.

Sixteen projects are expected to be done by 2021. These are:

Malitubog-Maridagao Irrigation Project;

Chico River Pump Irrigation Project;

Metro Rail Transit (MRT) Line 7;

North Luzon Expressway-South Luzon Expressway Connector Road;

Boracay Circumferential Road;

Surallah-T’Boli-San Jose Road, South Cotabato;

MRT 3 Rehabilitation Project;

Cebu BRT;

Automated Fare Collection Clearing House;

LRT 6 Cavite Line A;

New Bohol (Panglao) International Airport;

Unified Grand Central Station;

Pasacao-Balatan Tourism Coastal Highway;

Reconstruction and Development Plan for Greater Marawi (JICA grant);

Taguig Integrated Terminal Exchange;

China Grant Bridges (Binondo-Intramuros Bridge and Estrella-Pantaleon Bridge).

Another 27 projects will be finished by 2022, include airports, expressways, and railways. These include:

Sangley Airport;

Bicol (New Legaspi International Airport);

Kalibo International Airport;

North South Commuter Railway;

LRT 1 Cavite Extension;

C-5 MRT 10;

Fort Bonifacio-Makati Sky Train;

MRT 11;

EDSA Greenways;

New Cebu International Container Port;

Mindanao Rail Project Phase 1;

Camarines Sur Expressway;

Metro Cebu Expressway;

Southeast Metro Manila Expressway;

C-5 Southlink;

SLEX Toll Road 4;

Sindangan-Bayog- Lakewood Road in Zamboanga del Sur and Zamboanga del Norte;

Davao City Coastal Road Project, including Bucana bridge;

Philippine Identification System;

Metro Manila Priority Bridges for Seismic Improvement Project;

Subic-Clark Railway;

Arterial Road ByPass Project Phase III (Plaridel Bypass);

Davao City Bypass Construction Project;

Panguil Bay Bridge;

Integrated Disaster Risk Reduction and Climate Change Adaptation Measures in the Low-Lying Areas of Pampanga Bay;

Marawi Rehabilitation (China Grant), including bridge, bypass, the Grand Padian market and sports complex; and

New Clark City Phase 1, involving the National Government Administrative Center Phase 1 and the Filinvest Mixed Use Industrial Development Phase 1 site development.

President Rodrigo R. Duterte steps down from office on June 30, 2022.

The remaining 44 projects will be completed beyond 2022.

On the funding side, 49 projects worth P2.31 trillion will be financed by foreign-aided loans or ODA, while 29 projects are under public-private partnerships (PPP) with total government cost of P1.77 trillion.

Meanwhile, the remaining 22 projects worth P167.95 billion will be financed by the government through the national budget.

Among the PPP projects included in the list are the unsolicited proposal of Iloilo International Airport, Bacolod-Silay International Airport, the Tarlac-Pangasinan-La Union Expressway Extension Project and the Cavite-Tagaytay-Batangas Expressway Project, which are all now at advance stages of approval from the government.

Socioeconomic Planning Secretary Ernesto M. Pernia earlier announced that the total government’s cost for the infrastructure flagship program is estimated to reach P4.2 trillion, while the entire “Build, Build, Build” program, which consists of over 4,000 projects, is about P8.2 trillion.

Bases Conversion and Development Authority (BCDA) President and CEO and the presidential adviser for flagship programs Vivencio B. Dizon earlier said that the infrastructure flagship program is an “evolving list” as new projects that are “deemed of national and regional importance” will be included later on.

Earlier this month, the government officially announced that it reviewed and decided to revise the initial list of infrastructure flagship projects to 100 from 75, including more PPPs, while scrapping projects deemed not feasible.

The list was later on approved by the Investment Coordination Committee-Cabinet Committee and the Cabinet-level Committee on Infrastructure.

In an event this week, Finance Secretary Carlos G. Dominguez said that PPP projects should promote the interest of the public by “avoiding contracts that are disadvantageous to the government and a burden to the people with very high fees.”

“The vibrant participation so far from international and local companies in our Build, Build, Build program is proof that they have trust in the Duterte administration and in the transparent, fair and corruption-free bidding process implemented by the government,” Mr. Dominguez said. — Beatrice M. Laforga

DoLE cracks down on establishments with illegal foreign workers

THE DEPARTMENT of Labor and Employment (DoLE) has started inspecting establishments across the country to check for compliance in employing foreign nationals.

“Over 400 new labor inspectors were deployed in key areas to inspect establishments employing foreign nationals, and verify the legitimacy of their employment,” DoLE said in a statement on Friday.

The 404 Labor and Employment Officers (LEOs) will be covering all the regions, except the Bangsamoro Autonomous Region in Muslim Mindanao.

The inspections, which will run until the second week of December, is based on Administrative Order 472 issued by Labor Secretary Silvestre H. Bello III.

Among the LEO’s duties are to check an establishment’s registration with the Securities and Exchange Commission, determine the number of local and foreign workers employed, and verify the permits of the foreign employees.

Foreign workers are required to secure an Alien Employment Permit (AEP), which is issued by the DoLE.

The LEOs will submit their report to their respective DoLE regional directors.

The number of LEOs deployed vary per region: 135 in the National Capital Region; 12 in the Cordillera Administrative Region; nine in Region 1 (Ilocos); 42 in Region 2 (Cagayan Valley); 37 in Region 3 (Central Luzon); 34 in Region 4A (CALABARZON); 12 in Region 4B (MIMAROPA); 12 in Region 5 (Bicol); 11 in Region 6 (Western Visayas); 23 in Region 7 (Central Visayas); 12 in Region 8 (Eastern Visayas); 2 in Region 9 (Zamboanga Peninsula); 20 in Region 10 (Northern Mindanao); 12 in Region 11 (Davao); 11 in Region 12 (SOCCSKSARGEN); and 10 in CARAGA.

Several government agencies, including the DoLE, signed a Joint Memorandum Circular (JMC) earlier this year to help ensure more jobs for locals, especially in the Philippine Offshore Gaming Operator industry.

Under the JMC, foreigners applying for an AEP are mandated to first get a Tax Identification Number (TIN) from the Bureau of Internal Revenue. — Gillian M. Cortez

Minimum daily pay in BARMM to increase with 1st wage order

MINIMUM WAGE rates in the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) are set to increase with the approval of the new regional government’s first wage order on Nov. 13.

The Bangsamoro Tripartite Wages and Productivity Board (BTWPB-BARMM) issued on Nov. 14 Wage Order No. BARMM-01, which lays out the higher daily pay for workers in non-agriculture and agriculture sectors.

A P20 increase was approved for all private sector workers in the cities of Marawi and Lamitan, and the provinces of Maguindanao, Lanao del Sur, Basilan, Sulu, Tawi-Tawi.

This translates to a minimum daily wage of P300 for the non-agriculture sector, and P290 for agriculture.

The last wage hike in the now defunct Autonomous Region in Muslim Mindanao (ARMM), which was replaced by the BARMM, took effect June 15, 2018.

For Cotabato City and 63 barangays in Cotabato province, all new areas under the autonomous region, non-agriculture sector workers will receive a P14 wage increase or P325 per day, while those in agriculture will get P10 more or P300 per day.

The city and the barangays — which voted yes in a referendum for inclusion in the BARMM earlier this year — used to be under Region 12, or SOCCSKSARGEN, covering South Cotabato, Cotabato, Sultan Kudarat, Sarangani, and General Santos City.

The previous SOCCSKSARGEN rates, in effect since May 11 last year based on RB XII-20, were P311 for non-agricultural workers, and P290 for agriculture, service, and retail sectors.

Under Section 3 of the Bangsamoro Basic Law, “Labor, employment, and occupation” is listed among the “exclusive powers,” or where the BARMM government can exercise exclusive authority and jurisdiction.

The BTWPB-BARMM is composed of the following: BARMM Labor and Employment Minister Romeo K. Sema as chair; Bangsamoro Planning and Development Authority Executive Director Mohajirin Ali, and Trade, Investments, and Tourism Minister Abuamri A. Taddik as vice-chairpersons; Jonathan Acosta and Joyal Maquinto as workers’ representatives; and Joseph Go and Datu Haroun Bandila as employers’ representatives.

Mr. Sema, in the statement, noted that businesses that fail to comply with the wage order are subject to penalties as defined by the national wage laws contained in Republic Acts 6727 and 8188.

Under RA 6727, “Any Wage Order issued by the Boards shall take effect 15 days after its complete publication in at least one newspaper of general circulation in the region.” — Marifi S. Jara

16-yr old in 1st lung problem case related to e-cigarette

THE FIRST reported case of a lung problem linked to smoking e-cigarettes in the country involved a 16-year old girl, the Department of Health (DoH) announced on Friday.

In a statement, the DoH said a private pediatric pulmonologist based in Central Visayas reported the case to the Food and Drug Administration (FDA).

“The patient, who was admitted last October 21, initially presented with sudden-onset severe shortness of breath, required oxygen supplementation and ICU admission. Upon admission, the clinical impression was initially considered to be infectious in nature. However, upon further evaluation, the patient met the case criteria for EVALI, based on the guidelines of the US Centers for Disease Control (CDC),” DoH said.

The patient was reportedly on a “dual use” of e-cigarettes and combustible cigarettes for six months.

She has been discharged from the hospital, but the DoH continues to monitor her case.

The DoH has been campaigning against e-cigarettes and vape, especially among the underaged population.

In June, the DoH released Administrative Order (AO) 2019-0007 regulating the use, distribution, selling, and manufacturing of e-cigarettes and vapes, including a prohibition on sales to minors.

The implementation of the AO, however, is currently suspended after an injunction was issued by two local courts based on a petition by industry stakeholders.

DoH Undersecretary Rolando Enrique D. Domingo, in a separate statement, said these these legal issues need to be resolved immediately.

“Without regulation, there is little that stands in the way of unscrupulous persons wanting to take advantage of our policy situation for financial gain. There is very little deterrent to creating e-cigarette products that do not conform to basic safety standards,” he said. — Gillian M. Cortez

Padaca convicted of graft, malversation of funds

ANTI-GRAFT court Sandiganbayan has convicted former Isabela governor Grace M. Padaca for graft and malversation of funds.

Ms. Padaca, also a former Commision on Elections commissioner, said she will file a motion for reconsideration on the decision, which also orders her to pay P36 million with interest plus a jail sentence of 12 to 40 years.

“Decision has been promulgated. Guilty daw ako (They said I am guilty),” she said in a social media post on Friday.

The case involves a P25 million fund that was used as a low-interest loan to farmers.

Ms. Padaca said she was surprised with the verdict considering evidence and testimonies shown against her were “weak.”

She added that she presented sufficient evidence on the regularity of the loan program, including receipts, contracts, and other documents.

Ms. Padaca was accused of granting the Economic Development for Western Isabela and Northern Luzon Foundation Inc. (EDWINLFI) the authority to manage the loan program without any fair advantage.

Ms. Padaca defended that the Isabela provincial board approved the agreement with the organizations for the program’s implementation.

“Hindi ako magnanakaw. Wala kahit sampera mula sa P25M ang napunta sa akin. Ang buong pera ay napunta sa programa para sa mga magsasaka (I am not a thief. I did not get a single centavo of the P25 million. The entire fund went to the program for farmers),” she said.

Ms. Padaca was elected and served as Isabela governor for two terms, from June 2004 to June 2010. She was given the Ramon Magsaysay Award for Public Service in 2008. — Gillian M. Cortez

Suspected gunman in broadcaster’s murder surrenders

A POLICEMAN linked to the murder of a radio broadcaster in Dumaguete City last week has surrendered.

Roger Rubio, the suspected gunman in the killing of Dindo Generoso, is now in the custody of authorities, Presidential Task Force on Media Security (PTFoMS) Undersecretary Joel Egco said in a briefing on Friday.

“Caving in to mounting pressure due to an intensified manhunt, Mr. Rubio unfortunately an active personnel of the Negros Oriental Provincial Mobile Force Company, gave himself up to his Commanding Officer, Police Lieutenant Colonel Judimar De Leon at around 6 o’clock in the evening of November 13,” Mr. Egco said.

Two others linked to the crime, Teddy Salaw and Glenn Corsame, were arrested shortly after the November 7 shooting.

Another suspect, businessman Tomasino Aledro who allegedly owns the vehicle used during the shooting, remains at large.

Despite all four suspects being formally charged with murder, Mr. Egco said they will still conduct further investigations to see if Mr. Rubio was really the gunman.

“There are a lot of things pa na hindi natin masasagot (still that we cannot answer) until after we have concluded the investigations,” he said.

Authorities are looking at several motives for the murder, including work-related or politics.

Mr. Egco said Mr. Aledro is an alleged local gambling lord and Mr. Generoso could have been criticizing gambling operations in his radio program.

“That’s one of the subjects of our investigation,” Mr. Egco said. — Gillian M. Cortez

Laban Konsyumer files competition complaint vs oil companies, DoE

A CONSUMER RIGHTS advocacy group on Thursday filed a complaint with the Philippine Competition Commission (PCC) alleging petroleum price fixing, cartel, and collusion among 15 oil companies and the Department of Energy (DoE).

Laban Konsyumer Inc. (LKI) president Vic Dimagiba filed a complaint against the oil companies for allegedly entering into pricing agreements that substantially prevent competition in retail and petroleum products.

“How come even the biggest companies and small companies adjust [prices] by the same amount?” he said in a phone interview Friday.

The group cited the Philippine Competition Law or Republic Act 10667, which prohibits pricing agreements that restrict competition.

LKI also cited Section 11 of the Downstream Oil Industry Deregulation Law or Republic Act 8479, which prohibits cartels and monopolies in the industry.

The complaint was filed against Chevron Philippines, Inc., Petron Corp., PTT Philippines Corp., Pilipinas Shell Petroleum Corp., Total Philippines Corp., SeaOil Philippines, Inc., Phoenix Petroleum Philippines, Inc. Unioil Petroleum Philippines, Inc., Jetti Petroleum Inc., Eastern Petroleum Corp., City Oil Philippines, Inc., Filpride Energy Corp., Clean Fuels Philippines, TWA Inc., and Petro Gazz Ventures Corp.

Mr. Dimagiba also filed a complaint against the Department of Energy for allegedly abetting and facilitating price fixing, cartel, and collusion by using a pricing formula that prevents market competition.

Mr. Dimagiba said the pricing formula, which is posted on the DoE website, is based on the weekly average of the Mean of Platt’s Singapore price assessment published by Platts. Platts is a global energy, petrochemicals, metals, and agriculture information provider.

According to the complaint, the formula “does not consider costs beyond importation” such as storage, handling, distribution, retailing and costs associated with the biofuels program.

“When you import crude oil, you cannot apply the Mean of Platt — sigurado (certainly it will be) distorted,” he said.

In his complaint, Mr. Dimagiba said he did not find the difference in retail pricing between oil refiners and finished product importers, which have different inventory requirements.

He said the price setting computation and documents detailing the reasons behind individual price adjustments does not consider the international content, taxes and duties, biofuel cost, and oil company take components.

In a statement on Friday, Mr. Dimagiba said the formula is restricting fair and competitive pricing of the products and “the parties agreed amongst themselves to adjust prices of the same amount and effectivity date and without relating price setting as to whether the oil company is an oil refiners or wholly importer of finished products, and other costs.”

He said in the interview that he is asking the PCC to investigate and find evidence of agreements among the companies.

“We hope that the Philippine Competition Commission acts swiftly on this, so as to punish those responsible for doing collusion and price fixing. If quick action is taken against these violators, then we may also be able to prevent future collusion and price fixing, and end up protecting consumer welfare, which is of utmost priority for our consumer group.”

In the complaint, Mr. Dimagiba said that he has “exhausted administrative remedy” with DoE, but that no actions have been taken as of date.

The DoE in October pushed for the possible revision of the oil deregulation law, or Republic Act 8479, to give the department more power to regulate and unbundle petroleum product prices. — Jenina P. Ibañez

Business delegation puts Davao in ANA’s radar

DAVAO CITY — All Nippon Airways (ANA) will now consider Davao City in their route expansion plan after a recent roadshow by a delegation led by the Davao City Chamber of Commerce and Industry Inc. (DCCCII) in Tokyo, Hitachinaka, and Saitama.

DCCCII President Arturo M. Milan said Davao was not even in ANA’s “radar screen” for flight expansions and the company’s officials were quite surprised to learn that there are now several international flights to and from the city.

“They were also quite surprised why foreign airlines are now flying directly to Davao,” Mr. Milan said during this week’s Habi at Kape forum.

Mr. Milan said his presentation included the list of foreign airlines serving Davao, which are SilkAir, Cathay Dragon, Qatar Airways, Xiamen Air, and Garruda.

“They even asked why not invite local airlines to fly to Japan directly,” he said.

ANA HD, the airline’s parent firm, has a 9.5% stake in the outstanding shares of PAL Holdings, the parent of Philippine Airlines. PAL and ANA also have a number of code share flights.

The DCCCII has previously written to PAL to push for a Japan-Davao link.

Mr. Milan said another factor that piqued the interest of ANA was Davao’s position as a part of the Brunei-Indonesia-Malaysia-Philippine East ASEAN Growth Area (BIMP-EAGA).

“When we started talking and described Davao as a gateway to BIMP-EAGA countries, they were quite interested,”he said.

The DCCCII official said they also emphasized that the potential passenger load for direct flights to Davao includes not just business travelers and tourists, but also Filipinos residing in Japan.

“They were so surprised that majority of the Filipinos living in Japan, according to the statistics from the Philippine Embassy in Tokyo, are from Mindanao and those from Mindanao are basically from Davao Region, and that can be attributed to our long relationships with Japanese,” Mr. Milan said.

In their meetings with Japanese businesses for potential partnerships and investments, Mr. Milan said the most pressing question was:”Is there a direct flight to Davao?”

Meanwhile, Mr. Milan also announced that they signed a sisterhood agreement with the Hitachinaka Chamber of Commerce while the business group of Saitama expressed interest to forge one. — Maya M. Padillo

FDC profit rises 10% in Q3

FILINVEST Development Corp. (FDC) reported a 10% increase in profit during the third quarter as it saw double-digit growth in revenues from its residential, hospitality, banking and power businesses and an almost 200% increase in its sugar business.

In a regulatory filing Friday, the Gotianun-led holding company said its attributable net income in the July to September period stood at P2.85 billion, up from P2.59 billion last year.

Total revenues jumped 23% to P18.03 billion, coming mostly from its real estate, banking and power segments.

Sale of lots, condominiums and residential units contributed P5.06 billion (up 17% from last year) while mall and rental revenues added P1.6 billion (up 21%) during the three-month period.

Banking and financial services generated P7.4 billion in revenues to rise 24% from a year ago, as the power segment grew 13% to P2.43 billion and hospitality operations jumped 26% to P784.27 million. Revenues from the sugar business soared 197% to P754.68 million.

However, an 18% increase in total costs and expenses to P16.06 billion during the third quarter tempered the growth in FDC’s bottomline.

Year to date, the company’s attributable net income climbed 16% to P8.98 billion as total revenues grew 17% to P55.26 billion.

Total costs and expenses during the nine months stood at P47.44 billion to rise 16% from last year.

In a statement, FDC President and Chief Executive Officer Josephine Gotianun-Yap said the company expects to sustain its growth momentum approaching the end of 2019.

“We are pleased with the year-to-date performance of the group… We are poised to finish 2019 as strongly with sustained robust business activity in our chosen segments that are focused on the underserved middle market,” she was quoted as saying.

FDC controls Filinvest Land, Inc.; East West Banking Corp.; Filinvest Hospitality Corp.; FDC Utilities, Inc. and Pacific Sugar Holdings Corp., among others.

Shares in FDC at the stock exchange ended flat on Friday at P13.40 each. — Denise A. Valdez

Megawide earnings slump in 3rd quarter

By Denise A. Valdez, Reporter

EARNINGS of Megawide Construction Corp. plummeted 85% in the third quarter as it took a hit from higher interest rates that increased financing costs as well as delays in ongoing projects under its construction segment.

The diversified engineering firm reported an attributable net income of P63.86 million in the three months to September, falling from P415.05 million last year.

Total revenues shrunk 40% to P5.51 billion amid a 59% jump in direct costs to P4.3 billion.

Financing costs during the period surged 195% to P529.95 million, which further dragged the company’s bottomline.

From January to September, Megawide’s attributable net income was halved to P649.72 million. Revenues went up 7% to P13.69 billion, failing to offset the 14% increase in direct costs to P10.39 billion.

Other operating expenses jumped 13% to P125 million due to overhead expenses from operating the new Terminal 2 of the Mactan-Cebu International Airport (MCIA).

Financing costs for the nine months likewise rose 44% to P1.12 billion, which the company attributed to its outstanding loan for the construction of MCIA’s Terminal 2, on top of new loans that funded the construction of the Clark International Airport.

By business segment, Megawide’s construction business accounted for 77% of total revenues at P10.53 billion, 2% up from last year. Revenues from airport operations grew 25% to P2.71 billion to account for 25% of the total. This was attributed to the 10% higher passenger volume during the period.

Airport merchandising generated P247.54 million in revenues, up 15% from last year, while terminal operations contributed P207 million after opening in November last year.

In a briefing in Ortigas Center Friday, Megawide Assistant Vice-President for Investor Relations Rolando S. Bondoy said the company may miss its year-end target for net income growth.

“Looking at the nine months performance versus the yearend compared to last year, we might fall short (of our target)… Construction is very cyclical… that’s very very volatile. We might not be able to hit the target for this year but for next year we’ll definitely bounce back,” he said.

Megawide previously said it was looking at a flat net income growth by the end of 2019. The company’s full-year net income in 2018 stood at P1.8 billion.

“The coming year will be a lot stronger due to the catch up in construction revenues, normalizing airport operations, and full commercial potential of PITX coming into play. Finance costs are also expected to taper off with loan take outs and possible refinancing at lower interest rates,” Megawide Chairman and Chief Executive Officer Edgar B. Saavedra said in a statement.

Shares in Megawide at the stock exchange ended 0.28 points or 1.62% lower at P17 each on Friday.

Founder of CDO-Foodsphere passes away

Jose “Pepe” Ong, founder and chairman of meat processing company CDO-Foodsphere Inc., passed away on Thursday morning. He was 78 years old.

CDO Foodsphere President Jerome D. Ong in a statement confirmed the passing of his father.

“He is no longer in pain and he will be our angel watching over us. Thanks to all of you for all the love and prayers during this most difficult time,” he said.

The wake will be held at Heritage Park Chapel in Taguig from November 15 to 18.

Mr. Ong co-founded the meat processing company with his wife Corazon D. Ong in 1975.

CDO-Foodsphere, the statement said, has grown into “one of the largest and most diverse brand portfolios in the Philippine food industry.” Its products include canned tuna, sausages, hams, bacons, hamburger patties, loaves, and sweet preserves.

Prior to establishing CDO Foodsphere with his wife, Mr. Ong taught Biology at the Ateneo de Manila University.

“He was our coach, our rock — always inspiring us with his pioneering ideas, his passion and resilience. He was always there to remind us that nothing is impossible. He will forever be remembered with love and fondness,” CDO Foodsphere said in a statement.

The Philippine Association of Meat Processors, INc. (PAMPI) mourned the businessman’s death, saying in a statement that “working together with co-founders, [Mr. Ong] moved and guided PAMPI to make it one of the leading trade and industry organizations in the country today.”

“PAMPI will forever be thankful for his immense contribution to the organization, most especially during its early years of formation. Thank you very much dear colleague and friend. Farewell!” — Jenina P. Ibañez

SMC posts flat earnings growth in Q3

SAN MIGUEL Corp. (SMC) saw flat earnings growth in the third quarter, as consolidated sales dropped 5% on lower contributions from Petron Corp.

In a regulatory filing, the listed conglomerate reported an attributable net income of P7.01 billion in the three-month period, slightly lower from P7.08 billion in the same period last year.

Sales fell 5% to P249.14 billion during the July to September period, from P262.17 billion a year ago.

Year to date, SMC’s attributable net income inched up 2% to P20.24 billion. Sales slipped by 0.3% to P758.63 billion.

Primary drivers of revenues were its energy and food and beverage segments, which both saw higher volumes during the period. San Miguel Food and Beverage, Inc. posted a 10% increase in revenues to P226.37 billion, while SMC Global Power Holdings Corp. added 18% to P105.14 billion.

However, SMC saw a 9% decline in revenues from fuel and oil business Petron to P381.66 billion.

SMC’s interest income grew 66% to P8.15 billion for the three-quarter period. Other income also swung to P3.97 billion in the nine months from charges amounting to P12.6 billion last year.

In a regulatory filing, SMC said other income came from the shares of SMC subsidiary San Miguel Holdings Corp. (SMHC) in Manila North Harbour Port, Inc. (MNHPI).

When the Philippine government approved increasing the stake of International Container Terminal Services, Inc. (ICTSI) in MNHPI, the latter ceased to become a subsidiary of SMHC, which resulted to P727 million in gains for SMC.

Foreign exchange gains also turned around to P2.47 billion in the nine-month period from a loss of P15.33 billion last year, helping pull up SMC’s attributable net income.

Shares in SMC slipped 0.90 points or 0.55% to close at P162.50 each on Friday. — Denise A. Valdez

1...10,22410,22510,226...14,238Page 10,225 of 14,238
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube