SMC turns around with P29.6-B net profit in H1


Diversified conglomerate San Miguel Corporation (SMC) posted a net income of P29.6 billion in the first six months of 2021—a significant turnaround from its P4.0 billion net loss in the same period last year.

In a statement, the firm attributed its performance to the robust recoveries posted by all its major businesses amid the continuing COVID-19 restrictions nationwide.

SMC’s consolidated revenues grew 16 percent to P410.1 billion, driven by higher sales from Petron Corporation which was up by 14 percent, SMC Global Power by 5 percent, SMC Infrastructure by 27 percent, and San Miguel Food and Beverage by 20 percent.

San Miguel Corporation (SMC) President Ramon S. Ang

“While there is no doubt that the uncertainties brought about by the pandemic will continue to have an impact on our businesses, our strong performance in the first half reflects the effectiveness of the strategies we’ve put in place and our ability to quickly adapt to the evolving needs of our consumers,” said SMC President Ramon S. Ang.

He added that, “Vaccinating our employees against COVID-19 is a crucial part of our strategy for sustainable long-term recovery.”

Ang said the re-imposition of a lockdown for two weeks is an opportunity for the company to respond in terms of immediate relief for disadvantaged communities, supply much-needed essential goods and services, and help protect the country’s social and economic gains in the continuing fight against the pandemic.

SMFB’s net income grew by 137 percent to P17.4 billion in the first half on account of continuous volume improvements and better selling prices across the Food and Beer divisions and sustained all-time high volumes from the Spirits division.

San Miguel Brewery, Inc. (SMB) posted strong volume growth in the second quarter, resulting in a 15% increase in consolidated volumes to 97.4 million cases for the first half. Net income rose 89 percent to P9.5 billion.

Ginebra San Miguel Inc. (GSMI) further solidified its growth momentum with domestic volumes reaching 20.1 million cases, surpassing last year’s level by 21 p ercent. Net income ended at P2.1 billion, a 66 percent improvement from the previous year.

San Miguel Foods delivered a strong first half with the robust performance of the Protein and Animal Health and Nutrition segments and positive pricing and volume gains. The Food Group’s consolidated operating income grew 272 percent.

SMC Global Power Holdings Corporation’s net income rose 35 percent to P12.2 billion, driven by higher spot volumes and improved nominations from customers.

Petron achieved a first-half consolidated net income of P3.9 billion, an outstanding improvement from the P14.2 billion net loss it reported in the same period last year due to price recovery.

SMC Infrastructure generated revenues of P8.5 billion for the first half of the year, up 27 percent from last year as average daily traffic flow in all operating toll roads continue to improve, while volumes also continue to increase for Manila North Harbor and Bulacan Bulk Water.