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