Filinvest Development Corporation (FDC), the Gotianun family’s investment arm, reported a 28 percent drop in attributable net income to P6.1 billion last year from the P8.5 billion in 2020.

In a disclosure to the Philippine Stock Exchange, the firm said its consolidated net income declined by 23 percent to P8.9 billion.

Revenues and other income were lower by 13 percent as the growth posted by its residential and power businesses were offset by the contraction of the banking and commercial leasing units.

“Our financial results in 2021 were mixed across our businesses resulting from the varying degrees of economic impact caused by the Covid-19 disruptions,” said FDC President and CEO Josephine Gotianun-Yap.

She noted that, “We saw higher reservation sales in the residential business, particularly the affordable horizontal segment. However, volumes have not returned to pre- pandemic levels for most of the businesses by the end of 2021.”

“Now that the economy has opened up and mobility restrictions have been lifted, we are looking forward to regain lost ground especially in banking, commercial leasing and hospitality,” added Gotianun-Yap.

EastWest Bank, FDC’s banking and financial services subsidiary, delivered a net income contribution to the group of P4.3 billion, equivalent to 40 percent of FDC’s bottom line.

Banking was closely followed by the property business, composed of the real estate and hospitality segments, which delivered a combined P4.2 billion or 39 percent of total.

The power subsidiary contributed P2.1 billion in net income or 19 percent of total, while the balance of 2 percent came from other businesses.

EastWest Bank’s contribution to the group is 32 percent lower than the P6.4 billion in 2020, mainly due to lower loan revenues and trading gains. On a stand alone basis, EW’s total revenues and other income declined by 22 percent to P28.8 billion.

FDC’s real estate business, composed of listed subsidiary FLI and Filinvest Alabang, Inc. (FAI), contributed P4.9 billion in net income to the group in 2021, lower by 18 percent from the previous year of P6.0 billion.

This is largely due to the high base in 2020 brought about by the income recognition amounting to P2.4 billion by FAI in relation to the joint development of a prime property in Filinvest City, Alabang.

The power subsidiary, FDC Utilities, Inc. (FDCUI), registered a net income of P2.1 billion in 2021, a 6 percent improvement from the previous year, on the back of revenues that grew by 12 percent to P9.4 billion.

Hotel operations under Filinvest Hospitality Corporation (FHC) remained to be the most affected by the pandemic due to the various levels of travel restrictions and social distancing guidelines imposed throughout the year.

Revenues was recorded at P1.2 billion, the same level as the previous year, on the back of higher average occupancy rates across the six hotels and resorts under the Filinvest group’s portfolio. This was however offset by lower average room rates.