SMIC nearly triples net profit to P20.1 B in H1


SM Investments Corporation (SMIC) reported a 183 percent jump in consolidated net income to P20.1 billion in the first half of 2021 from the P7.1 billion earned in the same period last year.

In a disclosure to the Philippine Stock Exchange, the firm said consolidated revenues rose 4 percent to P193.5 billion in the first half of 2021 from P185.5 billion in the same period last year.

Banking accounted for 58 percent of SM’s reported net earnings from core businesses, followed by property at 28 percent and retail at 14 percent.

“Our businesses continued to perform resiliently, recovering well as conditions allowed,” SM Investments President and Chief Executive Officer Frederic C. DyBuncio said.

He added that, “Our banking and residential businesses performed well as we also continued to invest in long term expansion with new stores, bank branches, residential project launches and investments in malls, as well as taking a majority stake in 2GO in our equity investment portfolio.”

In the six months ended June 2021, SM Retail and its affiliates added 159 stores while banks increased their network by 22 branches.

SM Development Corporation launched two residential projects, in Manila and in Pampanga, bringing over 3,900 new units to the market.

“We are hopeful that the recovery momentum continues as we see more Filipinos get vaccinated,” DyBuncio said.

In a strong drive to support national recovery, SM ordered over 500,000 doses of COVID-19 vaccines for its employees and for donation to the National Government.

SM also provides vaccination venues all over the country with almost two million COVID-19 vaccine doses administered in more than 60 malls.

With the acquisition of additional shares in 2GO, SM Investments’ stake increased to 52.89 percent by end June 2021, providing ownership control.

“We are confident of 2GO capturing a leading share in high value activities in the growing local logistics and distribution sector and are pleased to continue to support its growth,” DyBuncio said.

SM Retail reported revenues of P138.2 billion, slightly lower than the P139.2 billion in the same period of the previous year. Revenue growth was 17.8 percent in Non-Food, with online and Call To Deliver accounting for 13.1 percent of total revenues.

Retail net income was at P3.6 billion from P522.0 million in the previous period, benefitting from cost reductions implemented in the first quarter across all formats and further efficiencies in the second quarter.

SM Prime Holdings, Inc. reported P11.6 billion in consolidated net income in the first six months of 2021, 12 percent higher from P10.4 billion in the first half of 2020.

BDO Unibank, Inc. (BDO) delivered P21.4 billion in profits in the first six months of 2021 on the back of strong sustainable earnings and normalized provisions.

China Banking Corporation reported its net income in the first half of 2021 grew by 39 percent to P7.3 billion on the back of strong performance across its core businesses.