Sustainability Report 2023

SM Investments publishes its second Integrated Report which communicates the value of sustainable business practices and how these are embedded in stories on development, innovation, care and community. The report is a balanced reflection of our company’s value creation process and the progress our ecosystem of businesses have made in advancing the United Nations Sustainable Development Goals.

How We Create Shared Value

First, our customers, then, our stakeholders. By meeting their needs, they embraced our brand.

Our Valued Resources

We take a synergistic approach in managing our assets to deliver sustained returns and foster sustainable development.


Our Integrated Developments

A unique mix of malls, residences, office buildings and hotels facilitating urbanization


The SM Brand

The SM brand is one of the most popular and trusted brand houses of the country


Our Connection to Our Customers

We know our customers, having a clear understanding on what they want

Our Empowered People

We have a diverse group of people that mirror our diverse customers

Our Inclusive Supply Chain Network

We have a diverse group of people that mirror our diverse customers

Our Relationship with Our Communities

Wherever we are present, we help uplift the lives of Filipinos in our host communities


Geothermal Energy & Environmental Assets

We optimize our environmental assets to help in the just transition to low carbon economies


One of the Largest Market Capital in the Country

Php 0 bn
Total Equity

What We Do and How We Do It

We operate as an ecosystem, with our businesses working together to achieve shared goals in serving and meeting the aspirations of Filipinos. We prioritize our customers, practice financial prudence and ensure good governance while keeping an eye on the future.


What’s Important to You and What We Delivered

Manufactured Capital - Supporting Urbanization

Our Integrated Developments

New Malls in the Philippines
New Mall in China
New Hotel
New Residential Projects

Intellectual Capital – Businesses/Innovations that Enhance the SM Brand Experience

The SM Brand

SM Store Personal Shoppers nationwide
Companies within SM have been recognized with the Best in Customer Service award by the Philippine Daily Inquirer and Statista

Social Capital - Meeting the Ever-Evolving Aspirations of our Customer and Stakeholder

We create socio-economic opportunities that promote inclusive prosperity for all

  • SM is the one of the largest job creators with
  • 131,000 jobs offered in 2023
  • SM has the largest MSME community supporting over 100,000 to date
  • 58% of Women in leadership roles

We create positive community impact

  • 1,728 scholarship grants in 2023
  • 10,564 scholar graduates to date
  • 172 schools donated/constructed
  • 1372 health centers and medical facilities built/renovated

Natural Capital – Managing Environmental Impacts and Finding Practical Solutions

Geothermal Energy & Environmental Assets

  • PGPC’s Steam Output generated 2,604.4 GWh in 2023
  • 2.65Mn trees/ seedlings planted
  • 24 hectares of mangroves protected
  • 3 marine protected areas
  • 23.3 MWp capacity of solar panels installed in SM Supermalls
  • 2 adopted plantations under PGPC’s Kupkop Kabundukan program

Financial Capital – Accelerating Inclusive Economic Growth and Partnerships

  • Total Assets: Php1,585.4bn
  • Consolidated Income: Php77bn
  • Revenues: Php616.3bn
  • Sustainable Energy Finance: Php119.8bn
  • BDO Loans to National Projects: Php73.0bn
  • BDO Loans to SME: Php50.1bn
  • China Bank Microfinancing Loans to MSMEs: Php19.2bn

Some Positive Impact We Create

We facilitate responsible urbanization and development

  • Through our property arm, SM Prime, we were able to build integrated property developments in Metro Manila and in key provincial cities in the Philippines, contributing to national goals in urbanization

We are pioneering a fully customer-centric Filipino brand incorporating sustainability as brand values

  • Our customers can experience the SM Omnichannel

Our Connection to Our Customers

  • SMAC loyalty program with 10M members
  • Personalized Customer Service

Our Empowered People

  • We established a principles-based Diversity Equity and Inclusion (DEI) Framework in our workplace

Our Inclusive Supply Chain Network

  • The leading hub for MSMEs
  • Over 12,000 products under SM Green Finds

Our Relationship with Our Communities

  • Through our social development programs, we contribute to reducing the gap in accessing social services

We promote natural habitats, environmental stewardship and nature-based solutions

  • We contribute to the reforestation and rehabilitation goals of the country and the Department of Energy’s targets for renewable energy sources

We generate profits with purpose, contributing to national growth and partnerships

  • 79% total dividends pay-out
  • 10 SM companies received Golden Arrow Awards from the ICD
  • 6 SM companies received ACGS regional awards

What’s Important for Us to Create Shared Value

Our goal is to help communities grow by working together with sustainable businesses. We focus on what’s important to our stakeholders and incorporate those priorities into everything we do, from our overall strategy to how we deliver our products and services every day. This reflects the values of the SM brand.

Caring for Our People

Employee Well-being, Health and Safety

We provide work-life balance, and a healthy and safe working environment for our employees, both physically and mentally.

OSHA Club Activities (badminton, yoga, Zumba, basketball for employees)

Human and Labor Rights

As a signatory of the UNGC, we adhere to all human and labor rights

Human Rights Policy

Employee Development

Equip our people to be environmentally responsible as they go about their work, regardless of their role in the company.

SM Sustainability School

Green Workforce

Train our employees with different skills & provide opportunities for career growth.

  • Annual Performance Review (99.7% Appraisal Rate)
  • Php159mn spent on Employee Training

Diversity, Inclusion and Equity

  • As a signatory of the UN WEPs and advocate of an inclusive workplace, we will launch a group-wide approach to DEI
  • To be exemplary in women’s leadership empowerment in the workplace at all leadership levels

Signatory of UN Women Empowerment Program

Thriving with Our Communities

Quality Education for Every Filipino

We actively contribute to ensuring the provision of the right to education.

12,292 scholars supported to date

Proper Medical Care

We play a role in providing our community access to quality healthcare.

1.28mn patients served in medical missions to date

Food Security through Farmers' Training

We support families in attaining freedom from hunger and malnutrition.

Farmers’ training and skills sharing through Kabalikat sa Kabuhayan (KSK) on Sustainable Agriculture Program.

Resilient Communities

We build SM’s business resiliency to serve as a platform for our supply chain network’s resiliency

  • MSME Resiliency Center
  • BCP Systems in 77 SM Malls

Community Development

We build lasting relationships with our communities, offering sustained programs and outreach initiatives that contribute to an enhanced quality of life.

Operation Tulong Express

Living in Harmony with Nature

Waste Management and Plastic Reduction

We develop programs that encourage our customers to do their share for communities and the planet

All SM companies will focus on recycling and reducing waste sent to landfill

  • SM Cares people programs which include SM Green Movement
  • Trash to Cash
  • SMIC became an investing partner of PARMS
  • 20% plastic recovery compliance in 2023

Water Recycling and Management

All SM companies will implement water efficiency programs – reduction, recycling and treatment

14.2mn m3 total water recycled

Shift to Renewable Energy Sources

Whenever possible, SM will promote the use of RE

  • At least 50% of SMPH Energy Use from RE Sources
  • PHP91bn loans disbursed through BDO SEF Funding and Php28.9bn disbursed by China Bank

Accounting of GHG Emissions

SM is committed to managing, measuring and reducing its GHG emissions.

  • TCFD signatory
  • WWF engagement: Corporates for a Better Planet Initiative Shift to Electric Vehicles and Green Mobility Whenever possible, SM will promote the use of EV 16 malls have EV

Accounting of GHG Emissions

SM is committed to managing, measuring and reducing its GHG emissions.

  • TCFD signatory
  • WWF engagement: Corporates for a Better Planet Initiative

Shift to Electric Vehicles and Green Mobility

Whenever possible, SM will promote the use of EV

  • 16 malls have EV chargers
  • 2GO uses Electric Forklifts

Practicing Good Corporate Governance

Ethical Practices and Anti-Corruption

We recognize the importance of implementing good corporate governance practices for the long-term success, sustainability, and growth of the company.

Anti-Bribery and Anti-Corruption Policy

Sustainability Leadership in Our Board

Our board maintains its commitment to upholding the principles of good corporate governance.

Sustainability Policy

ESG Risk Management

We systematically identify, assess, mitigate and monitor risks associated with environmental, social, and governance factors in a structured manner.

ESG Integration in Risk Management Framework

Private and Public Sector Partnerships

We provide access to basic services for the communities we serve

PHPxx Community Investments in 2023

Working with Our Partners

Customer Rights and Data Privacy

Conduct Surveys on Customer Feedback

SMAC Data Privacy

Supporting for MSMEs

We provide growth opportunities for our MSME partners alongside our banks and malls

We build the capacity of our MSME partners to mainstream retailing

Php69.3bn SME/MSME loans by BDO and China Bank

  • SM for MSME program and workshops
  • SM Green Finds Opportunities

Green Procurement

We empower our partners and team members to make environmentally-friendly procurement options.

Sustainable Suppliers

Access to Sustainable Products and Services (Green Finds)

SM supports customers in their shift to greener lifestyle choices

12,000 products that qualify as sustainable under Green Finds

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