Aboitiz’s net profit drops 14% to P14.3b

By MST Business | Oct. 29, 2014 at 11:01pm

Aboitiz Equity Ventures, the holding company of the Aboitiz family, said Wednesday consolidated net income fell 14 percent in the first nine months to P14.3 billion from a year ago, on lower contribution of power and banking businesses.

Aboitiz Equity said in a statement the P14.3-billion net income translated into P2.58 in earnings per share.

Power accounted for 72 percent of the conglomerate’s net income in the nine-month period, followed by the banking, food, and land development strategic business units, with income contributions of 17 percent, 7 percent, and 4 percent, respectively.

Aboitiz Equity said adjusting for one-off transaction such as the P634 million gain from the sale of a couple of investments, core net income reached P13.9 billion, down 16 percent from a year ago.

“The drop in our net income does not affect the fundamental value of our businesses. Our future growth plans remain intact as we continue to strengthen our businesses in keeping with the country’s economic growth,” Aboitiz Equity president and chief executive Erramon Aboitiz said.

Aboitiz said the company would remain supportive of the government’s public-private partnership program, cognizant of the critical state of the country’s infrastructure.

He called on “the President to swiftly settle the Cavite-Laguna Expressway stalemate.”

Aboitiz Power Corp., the company’s power business, reported an 8-percent decline in net income in the nine month period to P13.2 billion.

The generation business accounted for 81 percent of earnings contributions from AboitizPower’s business segments, recording an income share of P10.8 billion in the first nine months, down 11 percent year-on-year.   source