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SM Investments net income grows 32% to PHP36.5 bn in H1 on strong consumer confidence

2023/08/28

28

2023/08

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SM Investments Corporation (SM Investments) reported a consolidated net income of PHP36.5 billion in the first six months, up 32% from PHP27.7 billion in the same period last year.


Consolidated revenues rose 18% to PHP286.3 billion in the January to June period from PHP242.6 billion in the same period last year.


Of total net earnings, retail accounted for 17%. Property contributed 26% while banking accounted for the largest share at 47% and portfolio investments contributed 10%.


BDO Unibank, Inc. (BDO) posted earnings of PHP35.2 billion in the first half driven by broad-based growth across its core businesses.


China Banking Corporation sustained its net profits up 7% to PHP10.8 billion in the first six months.


SM Prime Holdings, Inc.'s consolidated net income grew 38% to PHP19.4 billion in the first half from PHP14.1 billion in the same period last year. This was supported by a 29% growth in consolidated revenues to PHP59.9 billion from PHP46.3 billion in the same period last year.


SM Prime's Philippine mall business, which accounts for 53% of consolidated revenues, grew 53% to PHP31.5 billion from PHP20.6 billion.


Malls' rental income grew by 42% to PHP26.3 billion due to improvement in tenant sales and foot traffic.


SM Prime's local cinema, ticket sales, and other revenues increased 156% to PHP5.2 billion.


Revenues of SM Prime's primary residential business, led by SM Development Corp. (SMDC) in the first half amounted to PHP17.6 billion.  SMDC's reservation sales grew 15% to PHP68.5 billion from PHP59.4 billion.


Revenues of SM Prime's other business segments, which include offices, hotels, and convention centers, grew 40% to PHP6.2 billion from PHP4.5 billion.

 

SM's commitment to sustainability, particularly good governance and risk management, was recognized earlier this year when it was awarded Top Rated status for sustainability in both its industry globally and among all companies in Asia Pacific by international ratings firm Morningstar Sustainalytics.


SM also won at the 13th Asian Excellence Award of Corporate Governance Asia for Best Corporate Social Responsibility (CSR), Best Corporate Communication and Best Investor Relations Company.


Across the SM Group, SM Investments, SM Prime and BDO also collectively won 9 awards in multiple categories at the FinanceAsia Best Managed Companies 2023 awards. China Bank Capital, for its part, received awards on sustainable finance for its fixed rate bonds from The Asset magazine.


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