Strong performance from its power business has tempered the bigger loss suffered by its sister media company, resulting in a 31 percent growth in attributable net income for the Lopez Holdings Corp.
In a disclosure to the Philippine Stock Exchange, the holding company of the Lopez family reported a 31 percent growth in attributable net income to P3.25 billion in the first six months of 2023 from the P2.47 billion earned in the same period last year.
The firm said its unaudited consolidated results are primarily due to the strong performance of First Philippine Holdings Corporation (FPH), especially its power business, and tempered by the bigger loss reported in the interim by ABS-CBN Corporation.
Lopez Holdings reported that its unaudited consolidated revenues increased by seven percent year-on-year (YoY) to P84.1 billion from P78.42 billion.
FPH posted a 29 percent increase in attributable net income to P8.1 billion from P6.27 billion in the first half of 2022.
It reflected the robust operating results of the power generation segment and the leasing business of the real estate business segment but partly reduced by the lower earnings contribution of the construction and energy solutions sectors.
The firm reported a seven percent increase in revenues to P84.1 billion from P78.42 billion. Sale of electricity accounted for 85 percent of revenues in the first half of 2023, compared to 84 percent in the same period last year.
ABS-CBN reported a net loss of P2.23 billion, which is 52 percent bigger than the net loss of P1.46 billion incurred in the same period of 2022.
It reported unaudited revenues of P8.8 billion, seven percent lower than P9.481 billion in the same period last year due to the absence of revenues from political advertisements.
Other income fell 82 percent to P209 million from P1.14 billion in the absence of significant asset sales in the first half of 2023.
All revenue items of Lopez Holdings were generated by units under FPH, as follows: sale of electricity (up eight percent); sale of real estate (down four percent); contracts and services (up 10 percent); and sale of merchandise (flat).
Unaudited consolidated costs and expenses were slightly higher at P64.43 billion compared to P64.17 billion.
Cost of sale of electricity (down two percent), cost of sale of real estate (down five percent), contracts and services (up two percent), merchandise sold (up five percent), and general and administrative expenses (up 13 percent) reflect the operations of FPH and units.
Net loss from investment accounted for at equity method of P984 million (up 81 percent) reflects ABS-CBN and FPH associates and joint ventures’ performances for the period.
All other income and expenses primarily reflect FPH accounts or those of its subsidiaries and affiliates, including finance costs (up 34 percent), finance income (up 143 percent), net foreign exchange losses (down 63 percent), dividend income (up 24 percent) and other income-net (down 46 percent).