Despite the raging pandemic, PHINMA Corporation is raising P2 billion from a bond offering to fund investments as it is optimistic that recent developments will boost economic recovery and growth.
During the firm’s annual stockholders’ meeting, PHINMA President and CEO Ramon R. del Rosario Jr. said they plan to issue a bond of at least P2 billion within the year.
He said the proceeds are largely intended for investments that will accelerate growth in Strategic Business Units where PHINMA has a competitive advantage and where it can make a significant social impact.
Del Rosario cited the corporation’s renewed commitment toward incorporating a strategic and business risk mindset to further enhance value and the delivery of key objectives.
“Fundamental to this is our investment in businesses that continue to provide innovative and essential businesses and services so that Filipinos may live dignified lives,” he said.
During the ASM, Del Rosario also cited promising developments for economic recovery and growth including the start of the nationwide vaccine rollout, the Bayanihan 3 government program and the passing of the CREATE tax reform law.
“These programs will be good for our nation and for our businesses that are strategically positioned to enable the growth of the Philippines,” he noted.
Consolidated revenue of PHINMA amounted to P12.3 billion, an 8 percent increase over the previous year due to record revenues from its Construction Materials Group (CMG) which was aided by the efficient operation of its new Mariveles cement facility and higher market acceptance of its steel and cement products.
Consolidated net income in 2020 amounted to P522 million, an increase from P437 million in 2019.
PHINMA CMG, which is composed of Philcement Corporation, Union Galvasteel Corporation (UGC) and PHINMA Solar Energy Corporation recorded revenues of P10.1 billion and combined net income of P917 million in 2020.
“Despite the decline in the construction industry during the pandemic, the industry is poised for a recovery over the next few years, and we view the construction sector as one of the key drivers of the country’s growth and economic recovery,” said Del Rosario.