4 days ago
Ayala Corp. H1 core profit down 2%
Ayala Corp. (AC), the Philippines' oldest conglomerate, on Wednesday reported a 2% decline in its core net income for the first half of the year, due to softer earnings from its telecommunications and energy businesses during the period.
In a regulatory filing, AC said its core net income fell to P23.7 billion, while its net income—which includes one-off items—increased by 5% to P23.4 billion due to higher impairments in the same period of 2024.
The company's telco unit, Globe Telecommunications Inc., reported an 11% drop in its core net income to P10.4 billion, on the back of lower gross service and higher depreciation and interest expenses.
Meanwhile, AC Energy (ACEN) saw a 24% drop in its core net income to P3.5 billion, dragged down by lower revenues from the damaged wind farms in Ilocos Norte, lower local spot market prices, weaker irradiance in the Philippines and Australia, and depreciation expenses from the newly operationalized plants.
'While our telco and energy businesses have some catching up to do, our full-year targets remain achievable. We are also encouraged to see our portfolio businesses showing better numbers,' AC president Cezar Consing said.
Banking unit Bank of the Philippine Islands (BPI) recorded an 8% increase in its net income to P33.0 billion, driven by strong loan growth and continued net interest margins, while property developer Ayala Land posted an 8% increase in its net income to P14.2 billion on steady revenues. —VBL, GMA Integrated News
