Facebook Instagram Linkedin Twitter Youtube
Home Blog Page 7965

Chelsea Logistics posts P345-M loss, expects recovery

CHELSEA LOGISTICS and Infrastructure Holdings Corp. posted an attributable net loss of P345.08 million for the first quarter, a reversal of the P138.71-million profit it recorded in the same period last year.

“The first quarter heralds the start of the traditional peak season but the Group’s financial performance was severely impacted, first by the Taal Volcano eruption and then by the enhanced community quarantine (ECQ) driven by the global COVID-19 pandemic,” the group said in a statement on Tuesday.

In a regulatory filing, the group posted a gross revenue of P1.61 billion in the first quarter, a slight growth of 0.89% from P1.60 billion it reported in the same period last year.

Chelsea Logistics’ shipping business saw an improvement of 2% to P1.51 billion. Revenues from the group’s passage business soared by 39% to P413 million.

“[This] is mainly due to the recent consolidation of The Supercat Fast Ferry Corporation, serving new routes and more passengers,” the group said.

Moreover, tugboat operations contributed P86 million to the group’s revenues, 6% higher than the previous year’s P82 million.

However, revenues of the logistics segment of the group’s business declined by 10% to 106 million “due to the restricted movement of goods caused by the Taal Volcano eruption and then by the government-imposed ECQ.”

First quarter’s operating profit also declined by 90% to P40 million, which the group attributed to its “limited operations due to the ECQ implemented in mid-March which is historically the start of the shipping industry’s peak season.”

Chelsea Logistics President and Chief Executive Officer Chryss Alfonsus V. Damuy was quoted as saying: “We are certain that our capital investments will bear fruit going forward. In the pipeline we have investments which are expected to generate significant cashflows: there are two vessels to be delivered this year, our 2.5-hectare logistics warehouse will be completed by the first quarter of next year and will boost capacity.”

“We will also be soon seeing infrastructure seaport and airport modernization projects in Davao that will make meaningful contributions in the future and generate additional revenue streams. All these are vital to the Philippine economy and will remain necessary for a long time,” he added.

Mr. Damuy also acknowledged that the challenges brought about by the coronavirus pandemic will not disappear overnight and may persist into the second quarter.

“We do remain confident that with our strategic plans to combat the crisis, and with our existing resources, capacity, fixed assets and strong market share, the Chelsea Group will spring back to recovery and move faster towards the new normal,” he said.

On Tuesday, shares in Chelsea Logistics went down 5.08% to close at P3.92 apiece. — Arjay L. Balinbin

Gov’t makes full award of 5-year bonds

THE GOVERNMENT fully awarded the reissued five-year Treasury bonds (T-bonds) it auctioned off on Tuesday despite a climb in yields amid strong demand.

The Bureau of the Treasury (BTr) borrowed P30 billion in reissued five-year T-bonds as programmed out of total bids worth P80.581 billion, which was more than two times bigger than the initial offer.

The average rate for the five-year notes increased by 50.6 basis points to 3.182% on Tuesday from the 2.676% seen in the May 27 auction. The yield was still lower than the 2.969% rate for the five-year papers at the secondary market.

National Treasurer Rosalia V. de Leon said demand for the papers remained strong as the rate stayed within the level quoted at the secondary market.

“(The BTr made a full award as it) received strong offer at rates hovering around secondary level,” Ms. De Leon told reporters via Viber, adding they did not open the tap facility.

A bond trader said the average rate fell within market expectations, noting the slight increase was an indication that participants are already searching for higher yields.

“The range was quite expected given the action in the past few days. Market is pricing in a possible jumbo bond issuance. This auction showed market demand for yield pickup,” the trader said via Viber on Tuesday.

Earlier this month, Ms. De Leon said they will continue to monitor market conditions for a possible jumbo bond issue.

The last time the BTr offered retail Treasury bonds was in February when it raised a record P310.8 billion in three-year papers.

The Treasury raised a total of P223.71 billion this month via the sale of government securities; P151.3 billion in Treasury bills via weekly auctions and P75 billion in T-bonds that were offered fortnightly.

The total exceeded the P170-billion program set for this month but was slightly lower than the P246.3 billion raised in May, which was also against a P170-billion plan.

The Treasury is expected to release its July borrowing program this week.

The government borrows from local and foreign sources to fund its budget deficit which is now seen to hit 8.4% of gross domestic product. — Beatrice M. Laforga

Teleperformance plans Cavite office

By Jenina P. Ibañez, Reporter

OUTSOURCING firm Teleperformance Philippines plans to open a new office in Cavite by the third quarter as it signals optimism about the growth of the sector throughout the health crisis.

Teleperformance Philippines Chief Operating Officer Mike Lytle in an e-mail on Monday said that the opening of its 22nd location in the country will push through if construction activities can resume. It also plans to expand existing operations in Quezon City.

He said the industry, after the impact of the lockdown, would see minimal growth this year. The Philippine outsourcing sector, he said, is operating at 66% of its normal levels.

“We will expect to see flat to minimal growth year-over-year because of the lost time over the last couple of months,” he said.

Teleperformance clients in the tourism and hospitality sectors saw the most adverse impact throughout the lockdown.

He added that the company also had to train or “reskill” employees to move them to different locations and support types. Their previous work was no longer required after their clients’ businesses shifted.

But Mr. Lytle’s long-term projections are more optimistic, pointing to outsourcing as a cost-saving option for companies that have lost revenues throughout the lockdown.

“While there was a little bit of slowdown as clients assessed their requirements and approach during this uncertain time, we are now seeing positive indicators for strong growth in the balance of the year,” he said.

Demand from the e-commerce and online streaming industries has also been growing.

He said that the company is seeing growth in the shared services sector, which includes human resources, scheduling and planning, and accounts receivable and payable in finance and accounting. Analytics, he said, will also translate to opportunities in Philippine outsourcing in the next few years.

Industry stakeholders had said that Philippine outsourcing may lose contracts as larger global companies try to diversify their location strategies to reduce disrupted operations, especially as other outsourcing destinations may have stronger Internet connectivity for work-from-home measures.

But Mr. Lytle said that this option is limited to companies that can afford it.

“There will certainly be some clients who look to diversify their approach to improve resiliency and business continuity by balancing their requirements across multiple countries. However the increased complexity and cost of operation will limit others,” he said. “We expect this will not be a major impact to the Philippines overall IT-BPM (Information Technology and Business Process Management) outlook.”

Teleperformance Philippines employs around 47,000 people.

BDO to buy out Nomura in joint venture

BDO Unibank, Inc. is seeking full control of its joint venture with Tokyo-headquartered Nomura Holdings, Inc. in a bid to consolidate its brokerage business.

The Sy-led lender currently owns 51% of BDO Nomura Securities, Inc., while Nomura, through its unit Nomura Asia Investment (Singapore), holds the remaining 49% of the joint venture.

“The transaction will enable BDO to consolidate its securities brokerage business into BDO Securities Corp., which is being reorganized into a full service brokerage firm with an expanded product offering to include non-equity securities,” the bank said in a statement on Tuesday.

“The transaction is subject to further discussion and final agreements, in addition to any required corporate and regulatory approvals,” it added.

The joint venture arrangement between the two parties started in January 2016 and BDO Nomura Securities was launched in October that year.

BDO’s net income dropped 10.2% to P8.8 billion in the first quarter from P9.8 billion a year ago, dragged by weak capital markets which took a toll on the bank’s investment portfolio.

The lender’s shares closed at P102.70 apiece on Tuesday, up by P3.70 or 3.74% from its Monday finish. — L.W.T. Noble

The art market in the new normal

ALL aspects of life have been affected by the ongoing COVID-19 (coronavirus disease 2019) pandemic, and the art world is no exception. From art fairs that have to consider how to deal with the need for social distancing, to artists discovering new ways to reach their audiences and reconsidering their relationship with galleries, every part of the art world has had to adjust.

In normal times, Filpino artist Kristoffer Ardeña alternates his time between Negros Island and Spain. But since he was caught by the lockdown in his hometown of Bacolod, he has been suffering from a creative block.

“One thing that I was very conscious of not doing was production,” said Mr. Ardeña. “In lockdown, I did not want to produce [artworks]. If ever I create something, it’s more about experimenting,” he said, adding that most of his time has been spent on reflecting, reading, writing, listening to talks online, and still staying informed. “It’s actually nice to pause and not work. It’s so refreshing to do nothing. It’s not something I’m used to,” he said.

Having a break during the lockdown has allowed him to take time and think about what he wants to do next.

Speaking at a webinar titled, Art. What Now? held on June 17 via Zoom, he, along with others in the art industry, discussed the future of the art scene in the new normal.

GOING DIGITAL
Access to digital platforms and social media were resources which were non-existent in past pandemics. Digital technology has given new opportunities for artists to showcase their creativity on a wider platform.

“One benefit of COVID has been the really empowering of online digital visual communication and graphic design. The crisis has actually served as a trigger for organizations to reanalyze their own visual identities and branding,” said Chris Green, Deputy Director of the Museum of Contemporary Art and Design Manila (MCAD).

Valentine Willie, founding creative director of Ilham Gallery in Kuala Lumpur, Malaysia, said that the gallery conducted online talks with artists overseas, and surrendered its Instagram account to an artist on weekends to keep audiences engaged during the lockdown.

“We’ve invited artists and cultural workers to take part and use our platform to reach a wider audience, even though we are closed technically,” Mr. Willie said.

Mr. Willie suggested that artists nowadays can reinvent themselves by showing their works on social media, such as by opening an Instagram account.

“Galleries will still have a role, but it is [up to] artists to reinvent themselves, and see how much they need galleries to promote their work,” Mr. Willie added.

THE FUTURE OF ART FAIRS,
GALLERIES, COLLECTORS

Since the outbreak of COVID-19 during the first quarter of the year, international art fairs such as Art Basel Hong Kong and Art Dubai have been canceled, but some launched online viewing rooms and held online talks to stay accessible to the global art market during the pandemic.

In the local art scene, the 8th Art Fair Philippines and the newly launched Alt Philippines managed to push through in February. However, the 14th edition of Art in the Park, which was originally scheduled on March 15, was postponed.

Art Fair Philippines’ Dindin Araneta — who is also the Chairperson of the Arts Management Program of the School of Design and Arts of La Salle College of Saint Benilde — said that she and her fellow co-founders Trickie Lopa and Lisa Ongpin-Periquet started discussions on their art fair a month ago.

“We can no longer set up the Art Fair [Philippines] like we used to” due to restrictions on crowds and health and safety precautions, Ms. Araneta said. Since its debut in 2013, Art Fair Philippines has been held at four enclosed floors of The Link parking lot in Makati City. It regularly attracts around 40,000 visitors over three days.

Ms. Araneta said that they have been keeping an eye on what the international art fairs such as Art Basel are doing, and are exploring ideas and the infrastructure of going digital. No concrete plans have been made so far.

Due to the current restrictions on both public gatherings, art fairs and galleries have had to reconfigure and think of both their staff and the visiting public. As they have started to open physical exhibits with the relaxation of the quarantine, many galleries in Metro Manila have been skipping holding opening receptions and exhibit goers can visit the galleries by appointment only.

Mr. Willie, whose Singapore gallery is reopening with a photography exhibition next month, said there is a “reluctance in visiting public spaces at the moment,” adding that they had to consider things like whether the works should be shown together in one area or separately displayed.

Despite the opportunities that the digital platform offers, director and curator of MCAD Manila Yeyey Cruz noted that the full enjoyment of art needs physical engagement.

“Even though it works for the moment that we look at and encounter art through our screens, there will come a point where we will need to realize that art cannot exist just on a flat surface,” Ms. Cruz said. “At the end of the day, [I think] to experience art continually, [you] still work with tangible objects.”

In terms of the future strategies of galleries, Mr. Willie suggests that artists take charge in promoting themselves and for galleries to adapt in helping promote the artists they represent. This includes the possibility of charging a smaller percentage as commission since both the artist and the gallery, Mr. Willie said, “will have different ways to access the market.”

ARTISTS’ REINVENTION
For Mr. Ardeña, the situation varies depending on the gallery. He noted that the galleries in Spain have a different set of priorities from those in Bacolod, following the challenges brought by the pandemic. Mr. Ardeña said that locally, artists have gathered to raise funds for hospitals and poor communities affected by the COVID-19 crisis, while in Spain, the artists were more focused on receiving subsidies from the government.

Since March, he has been in constant communication with galleries and dealers to understand the needs of both parties.

“It is important to build long-term relationships with clients. It’s more than just connecting with a collector,” he said, adding that he would often ask clients first what they think of his works.

As an artist, Mr. Ardeña hopes to explore possibilities beyond gallery spaces in showcasing his art. “It’s more about re-assessing public engagement. I love working in a public space and putting a painting on the street.

“We’re still in a stage of thinking of a response,” he said. “It’s about learning from what we are in right now. As artists we have our understanding of our own position in terms of the locality that we work in and where we think we are.” — Michelle Anne P. Soliman

Atlas Mining’s net loss widens to P37M on higher tax provisions

ATLAS CONSOLIDATED Mining and Development Corp. reported a 6% increase in its net loss attributable to the parent firm’s equity holders for the first quarter to P37 million due to higher deferred tax provisions.

In a disclosure to the stock exchange on Tuesday, Atlas Mining said its core income rose 77% to P113 million, compared with P64 million in 2019.

The company’s earnings before interest, tax, depreciation, and amortization (EBIDTA) rose 6% to 1.62 billion due to lower copper price and copper metal content.

Atlas Mining’s wholly owned subsidiary, Carmen Copper Corp., recorded a 2% increase in its copper metal production to 27.92 million pounds while gold production rose 14% to 11,169 ounces.

“The increase in copper and gold production resulted from higher tonnage milled and higher realized grades,” the company said in the disclosure.

Milling tonnage climbed 2% to 4.45 million tons while copper grades improved 2% to 0.321% and gold grade improved 15% to 7.12 grams per dry metric ton.

Atlas Mining’s copper concentrate shipped during the first quarter fell 5% to 47,000 tons due to higher inventory carried over to the first quarter of 2019 from the fourth quarter of 2018, while copper metal content of concentrate shipped declined 4% to 26.60 million pounds.

However, the company’s gold content rose 9% to 9,626 ounces due to higher gold grade.

Price of copper in the first quarter was 10% lower at $2.52 per pound while the average realized gold price was 21% higher at $1,574 per ounce.

“The improvement in operating efficiencies that increased throughput and higher grades resulted in the lower average cost per pound by 29% from $1.54 per pound in 2019 to $1.10 per pound in 2020,” the company said.

The company’s cash costs fell 18% to P2.44 billion in 2020 versus P2.99 billion in 2019 which countered the impact of its lower revenues.

Atlas Mining President Adrian Paulino S. Ramos said the company is confident that it can sustain full operations and attain its production targets for the rest of the year despite the effects of the coronavirus disease 2019 (COVID-19) pandemic on metal prices and the overall supply chain.

“Fortunately for Atlas Mining, it was able to sustain full operation even under the enhanced community quarantine which enabled the company to fulfill all commitments to its buyers and suppliers,” Mr. Ramos said.

On Tuesday, shares in Atlas Mining rose 1.56% or P0.03 to close at P1.95 apiece. — Revin Mikhael D. Ochave

PNB to reduce exposures to risky sectors

PHILIPPINE NATIONAL Bank (PNB) will reduce its exposures to some sectors to help reduce emerging risks due to the coronavirus crisis.

Officials also said the bank has beefed up liquidity early in the crisis, noting its standing remains stable.

“In order to mitigate the risk in the bank’s portfolio, we will reduce exposures, some of them we’ve already reduced (those) for vulnerable sectors,” PNB President and Chief Executive Officer Jose Arnulfo A. Veloso said during the bank’s annual stockholders’ meeting held online on Tuesday.

“For those that we can restructure, we will [restructure]…and then, more emphasis is given on returns over risk-weighted assets rather than simple asset growth,” he added.

Mr. Veloso said the bank has less than 10% exposure to certain vulnerable sectors. He said they have been engaged in dialogue to gauge how to assist their borrowers during this crisis.

“We will refocus new loan grants to essential sectors and industries critical to function during ECQ (enhanced community quarantine) as well as those that will try in the new normal,” Mr. Veloso said.

In the first quarter, the bank set aside P3.4 billion for loan loss provisions, higher than the P346 million logged in the same period last year.

“For the rest of the year, the need for additional provisioning will depend if there are continued significant changes in the economic scenarios and the macroeconomic factors…or if there will be actual delinquencies that actually may happen,” PNB Chief Financial Officer Nelson C. Reyes said.

Mr. Reyes said the bank has been watching out for liquidity risks since the onset of the crisis.

“The bank has already taken proactive measures to build up its liquidity via enhanced deposit drive and selected asset buildup which is focused on high-quality loans,” he said.

Mr. Reyes also said PNB is closely watching their liquidity indicators as well as systemic risks.

He noted the bank has enough buffers, with its capital adequacy ratio at 14.7% and common equity Tier 1 ratio at 13.8% as of March.

Moving forward, Mr. Veloso said the bank will fast-track their digital initiatives as social distancing measures boosted the need for online banking.

“I am happy to report to you that our mobile banking portal registered 3.1 million transactions in the month of May, [up] 25% from April,” he said.

The Tan-led lender’s net income slid 29.7% year on year to P1.3 billion in the January to March period.

PNB’s shares closed at P21.10 apiece on Tuesday, up by 10 centavos or by 0.48% from the previous day. — Luz Wendy T. Noble

Knighted impresario of the British stage bets on live theater during the pandemic

By Kelly Gilblom, Bloomberg

WITH much of the live entertainment industry facing a harrowing moment of retrenchment, Howard Panter sees an opportunity to expand.

These days, the theater impresario behind such iconic West End productions as South Pacific and The Rocky Horror Show is steering a global live-entertainment empire that continues to make acquisitions despite widespread uncertainty about when and how performance venues can reopen safely amid the coronavirus pandemic.

For a quarter-century, Panter and his wife, Rosemary Squire, built up the Ambassador Theatre Group from a single theater into an industry heavyweight. In 2016, they stepped down as joint chief executive officers. The following year, they co-founded Trafalgar Entertainment, which, in addition to producing new shows, oversees a theater school, a streaming service, and an online ticket-selling business.

Recently, Trafalgar Entertainment bought the Theatre Royal in Sydney, which Panter sees as the cornerstone of plans for an international expansion. Backing him are Richard Branson and US pension funds, including MassMutual.

Panter spoke with Bloomberg about how the theater will recover from the coronavirus impact, the need for more diversity in the industry and whether live productions of Shakespeare can compete with an onslaught of new digital entertainment services like Disney+, HBO Max and Quibi.

WHAT HAVE THE PAST FEW MONTHS BEEN LIKE FOR YOUR COMPANY?
No one has been made redundant. That’s a good thing. We have furloughed just under half the teams across the various companies within the group. But we’ve managed to keep everybody in touch and, I hope, to be aware of people’s potential hardship issues, and to give support to people where we can.

The other piece has been really trying to find the strands within our business that we can operate. For instance, our Stagecoach business — which is a big performing-arts business — we’ve moved a great deal of it online. We’ve gone into the drive-in movie movement, which is happening all over.

HOW HAVE YOU EXPLAINED TO INVESTORS THAT THE EXPANSION INTO AUSTRALIA AND ASIA IS A GOOD MOVE IN THE LONG TERM?
You either take the view that we’re never going to come back and see theater, musicals, and concerts again. Or you take the view that it is going to come back, and that if you concentrate on the right areas, and you have diverse revenue streams, as we have built up, then it’s a good business to be in. And certainly we know now a number of financial institutions that are really interested in the live space.

If you take Netflix, and HBO’s new brand, and Disney+ and all the rest of it, that’s quite a crowded marketplace. If you look at the live-theater space in Australia and Asia Pacific, you’ve got a huge market there that is actually not very comprehensively served. Asia Pacific, Australia and New Zealand are prosperous and growing economies. And we are very lucky that in New Zealand and most states in Australia there is no COVID-19 (coronavirus disease 2019).

If you believe that people want to come back together again — obviously, I do — then why not expand? Why not grow in a time when it appears to be in a down period?

YOU’VE BEEN IN THE THEATER BUSINESS A LONG TIME. HAVE ALL THE NEW, COMPETING FORMS OF ENTERTAINMENT MADE IT HARDER TO RUN YOUR BUSINESS?
It’s become more professionalized. When I started, it was something of a series of cottage industries.

What we’ve tried to do is to have vertically integrated companies that have content, venues, ticketing, food and beverage, merchandise, IP (intellectual property) to develop, live streaming. If you add up all the different revenue streams then you have a much more stable business that financial institutions absolutely can relate to and feel much more comfortable with. It’s moved from, “Let’s hope you hit the next Phantom of the Opera” to, “Well, you probably won’t hit the next Phantom or Hamilton, but you’ll hit lots of other good stuff.”

THERE WAS A LIVE VERSION OF HAMILTON THAT WAS FILMED WHICH IS GOING TO BE A DISNEY+ MOVIE NOW. DO YOU SEE MORE OF THAT HAPPENING?
I think so, yeah. There used to be a view that if you made a movie, or did a live broadcast production of theater, which we do a lot of, it would kill the live business. In fact, all the evidence we have is that it expands the business. One of our brands is The Rocky Horror Show, which has been around for a long time. We did a broadcast of a live production, which was actually a charity sort of event. We showed it in x-thousand cinemas, just for one night. It made the tours that followed about 35% better in terms of revenue than previous or post Rocky Horror Show tours. Obviously, the version that you do on camera has to be great, and exciting and cinematically cool. But it doesn’t devalue the live production.

THERE ARE CAUTIONARY TALES WITH THE USE OF IP FROM LIVE THEATER LIKE WHAT HAPPENED WITH CATS, WHICH LOST A LOT OF MONEY.
Yes, well, indeed. I know nothing about that particular thing other than what one reads, but I think they’ve got to be done well.

WHAT’S THE OUTLOOK FOR GETTING PRODUCTIONS AND LIVE EVENTS RESTARTED?
One needs to work through the precautions with customers. While I hope I’m not tempting fate here, I don’t think any virus has lasted forever. They do actually run their course, and you learn to manage them. I mean, HIV, we’ve learned to manage, have we not? And treat. I believe that the combination of treatment, hygiene, sensible precaution, and then, hopefully, a vaccine one day, will get us back.

WHAT ARE YOUR THOUGHTS ON THE PROTESTS AGAINST RACIAL INJUSTICE?
It’s simply refocused that all forms of racism, or sexism, or any form of intolerance is not acceptable. And I think actually, the theater industry and the entertainment industry generally, as long as it’s thoughtful and measured in what it says, is a tremendous advocate for antiracism.

WHAT IS THE STATE OF DIVERSITY IN THEATER?
It is much, much more diverse than it ever was. Now, clearly, it needs to go further. Clearly, one needs to have greater diversity within the industry in terms of things that represent the population. So, it has gone a long way, but like everything, there’s room for improvement.

ARE AUDIENCES LOOKING FOR NEW CONTENT OR CLASSIC IP?
I don’t detect any underlying changes. Different generations like different things. Whether it’s Hamlet or Sound of Music, the reason they’re called classics is because they last, and they appeal to people over the generations. I would be surprised if in 100 years’ time Hamlet was not being performed.

IS THE INDUSTRY OVERALL POSITIONED TO WEATHER THE LIMITED AUDIENCE SIZES AND THE RULES ON SOCIAL DISTANCING?
The truth is, it’s harder than ever to be an independent, smaller producer. That’s unquestionably true. It’s always been really hard. I started as an independent producer. I was a director and lighting designer and God knows what else. But when I was an independent producer, that was really, really hard. Because two or three things go wrong and that could wipe you out, basically.

There will be casualties, I fear. But others will come up because there’s an innate enthusiasm. Look at our performing-arts school, for instance. Why do we have so many people wanting to learn how to sing and dance and act? Why do they want to do it? They’re not forced to do it. They queue up to get into performing-arts institutes.

I’m sure there will be some casualties in the theater industry. But the theater itself will continue. And I think, possibly, our model is perhaps a model for others to look at, to think of. The different revenue streams — that’s a lesson my wife and I’ve learned over the years of doing it. You’ve got to think like a business. You can’t just hope your next show is going to be Hamilton.

WHAT IS HAPPENING WITH STUDENT ENROLLMENT AND APPLICATIONS AT YOUR PERFORMING-ARTS INSTITUTE?
It goes up every year. That’s the trend. And we’re going into more territories. We created more schools in Australia, in Germany and in North America. But clearly the pandemic has moved the classroom, if you like, from bricks to clicks. There’s an argument that the world is a bit Zoomed out at the moment. We are experiencing people saying, “I can’t take one more thing online.”

WHY DO YOU LOVE THEATER?
It was one of the things I could do at school. I could do sports, and I could do performing arts, basically. That’s what I was quite good at. When I went to my first drama school, the London Academy of Music and Dramatic Arts, I did the production course, which was learning directing, lighting, sound, all of those skills. When I had my first day there, they took us into the theater, and just seeing the lights on the curtain, the curtain going up over the darkness, and all this together with the story, I said, “I’m home.”

I-Remit swings to profit as revenues improve

LISTED I-Remit, Inc. swung to a net profit in the first quarter as costs and expenses declined while revenues improved.

The remittance company said in a regulatory filing Tuesday its earnings in the January-to-March period stood at P1.43 million, a turnaround from the P15.74 million net loss it booked the same period last year.

Revenues inched up 2% to P198.48 million while cost of services fell 17% to P75.84 million, resulting in a 20% climb in gross profit to P122.63 million.

The improvement was attributed to the 9% decline in service fees to P158.2 million, the 200% growth in foreign gains to P32.7 million, and the 14% decrease in commission to P8.6 million.

Costs also fell because of the 24% drop in service, delivery, bank and other service charges to P54.8 million, which offset the 5% increase in finance costs to P21 million due to additional loans availed with higher interest rates.

The number of transactions it recorded fell 8% to 0.96 million from 1.04 million last year, which came mostly from the Middle East at 44% of the pie. The rest are from Asia Pacific (36%), North America (12%) and Europe (8%).

Operating expenses helped push the bottomline, as it fell 6% to P123.8 million. This was linked to the lower short-term benefits expense, marketing and professional fees at P2.9 million, P2 million and P1.9 million, respectively. Travel, light, water and similar expenses also fell P2.4 million.

I-Remit, however, noted the expected decline in remittance flow to the Philippines due to the coronavirus pandemic. The World Bank estimated remittance drop in the country by 13%.

Shares in I-Remit at the stock exchange gained 11 centavos or 11.58% to P1.06 each on Tuesday. — Denise A. Valdez

Security Bank to raise P5 billion

SECURITY BANK Corp. is looking to raise P5 billion via its offer of two-year peso-denominated bonds.

The offering may be upsized depending on demand, the lender said in a filing on Tuesday.

With a fixed rate of 3.125% per annum, the bonds are available to investors for investments starting at P1 million and in increments of P100,000 thereafter.

The offer period for the bonds started yesterday and is set to end on July 15.

“Security Bank will list the bonds on the Philippine Dealing and Exchange Corp. on July 24 to provide secondary market liquidity to investors who would like to trade the instruments,” it said.

The Philippine Commercial Capital, Inc. (PCCI) is the sole bookrunner for the transaction. PCCI, together with Security Bank Capital Investment Corp., are the joint lead arrangers and selling agents for the issuance.

The latest offering is part of the lender’s P100-billion peso bond and commercial paper program.

In February, the bank raised P2.07 billion through long-term negotiable certificates of deposit. The funds raised will be used to diversify its funding sources and finance expansion plans.

Security Bank’s net income jumped 21% year on year to P2.9 billion in the first quarter, bolstered by stronger revenues due to the growth in its core business.

The bank’s shares closed at P108 apiece on Tuesday, up by P3.90 or by 3.75% from its previous finish. — L.W.T. Noble

Serenading plants: Barcelona opera reopens with unusual concert

BARCELONA — Barcelona’s Liceu opera house reopened its doors on Monday for the first time in over three months to hold a concert — exclusively for a quiet, leafy audience of nearly 2,300 house plants.

Organizers said the intention was to reflect on the absurdity of the human condition in the era of the coronavirus, which deprives people of their position as spectators.

“Nature advanced to occupy the spaces we snatched from it,” Executive Producer Eugenio Ampudio said on stage at an afternoon rehearsal before the concert.

“Can we extend our empathy? Let’s begin with art and music, in a great theater, by inviting nature in,” he said inside the eclectic, neo-classical venue that dates back to the 19th century and is one of Europe’s largest opera houses.

After the concert, which was live streamed (https://www.youtube.com/watch?v=70bpxG2tq6w&feature=youtu.be), the 2,292 nursery plants placed on every seat were to be donated to frontline health workers.

The Concert for the Biocene was made possible by the ending of Spain’s state of emergency on Sunday. It featured a string quartet playing Italian composer Giacomo Puccini’s “Chrysanthemum,” chosen for its requiem-like sadness.

The Liceu observed all the usual rituals of a regular musical performance, with announcements given over loud speakers that the concert was about to begin.

Both before and after the six-minute performance, the four elegantly dressed musicians respectfully bowed to the “audience.”

The Liceu said it hoped the show would reaffirm the value of art, music and nature and serve as a roadmap for returning to normal activity after the pandemic.

Spain has been one of the nations worst-affected by the COVID-19 (coronavirus disease 2019) pandemic, with 28,323 deaths and 246,272 cases so far. — Reuters

LabX, Spring Valley tie up to enhance virus contact tracing

RAPID TEST distributor LabX Corp. will perform virus tracing capability for local software developer Spring Valley Tech Corporation’s (SVTC) mobile contact tracing application after the two companies have formalized their partnership last week.

In a statement on Tuesday, the testing firm said it signed a memorandum of agreement on June 18 with the software company to trace cases of coronavirus disease 2019 (COVID-19) for the latter’s Citizen’s Logistics and Early Assessment Report (CLEAR) app.

“Through this contact tracing app, we could save more lives and the livelihood of the people. This could also provide a health-information exchange that will allow contact tracing in the country, which will be very useful for the government,” LabX Chairman and Chief Executive Officer Hector Thomas Navasero was quoted as saying.

The CLEAR mobile app, which Spring Valley co-developed with CMI Tech, helps trace contacts of persons infected with SARS-CoV-2 (severe acute respiratory syndrome coronavirus 2), the virus which causes the dreaded disease, through Bluetooth and GPS (Global Positioning System) technologies.

It tells users if they have been in close contact with someone who is infected with the virus by automatically connecting to other mobile devices through the app and exchanging anonymized identifications in encrypted form.

“It is important for the public to contribute vital data so that their state of health and touch-points with other individuals will be updated from time to time. With this information, the authorities can offer other initiatives alongside mass testing that can help allay the public’s concerns,” said Norman Bungubung, director of corporate affairs at LabX. — Adam J. Ang

1...7,9647,9657,966...12,801Page 7,965 of 12,801
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin Twitter Youtube