SMIC’s profit climbed 26% to P33.1b in first 9 months

November 07, 2019

Conglomerate SM Investments Corp. said Wednesday consolidated net income climbed 26 percent in the first nine months to P33.1 billion from a year ago on the strong performance of banking and property units.

SMIC said in a disclosure to the stock exchange consolidated revenues increased 14 percent in the nine month-period to P350.7 billion from P307.4 billion a year ago.

“Our core businesses continue to deliver notable performance led by banking and property. We are satisfied with our financial results as these reflect the continued growth in our core businesses. This quarter, we are also pleased that our efforts to strengthen our environment, social and governance practices are being recognized,” SMIC president Frederic DyBuncio said.

Banks accounted for 44 percent of SM’s reported net earnings from January to September, followed by property at 39 percent and retail at 17 percent.

Retail operations under SM Retail Inc., which consist of both food (SM Markets) and non-food (SM Store and Specialty Retail), booked a net income of P7.8 billion, down 1 percent from a year earlier. Total revenues were up 12 percent to P253.9 billion.

SMIC said the decline in SM Retail’s net income was due to the effect of the implementation of the Philippine Financial Reporting Standards 16 which this year. Excluding the impact of PFRS 16, net income grew by 8 percent.