MacroAsia Corporation reported a 61 percent increase in net income for the first nine months of the year, rising to P1.2 billion from P746 million during the same period last year, driven by higher revenues across its various business segments.
Consolidated revenues were higher by 28 percent to P6.99 billion from P5.74 billion year-on-year due to increased demand across aviation services, food products and services, and water concessions.
The company’s focus on expanding adjacent businesses to aviation services yielded a nine-percent increase in third-quarter revenues alone at P2.2 billion from the P2.03 billion reported in the same quarter last year.
Net income for the third quarter, however, dipped by two percent to P352 million from P364 million year-on-year due to seasonal factors in aviation, effective cost management measures enabled the company to sustain profitability despite rising operational costs.
In a regulatory filing, MacroAsia President and Chief Operating Officer Eduardo Luis Luy said that the company’s strong financial performance in the first nine months of the year underscores the resilience of its business model and strategic focus on customer satisfaction and market expansion into areas adjacent to its core businesses.
However, the company remained cautious about its outlook for next year amid cost headwinds ahead.
“The privatization of the operations of NAIA … may likely result in the future to more flights and passengers for the main hub, as the airport facilities are foreseen to expand in capacity and become more efficient. However, the costs of doing business in the airport will go up, as the Manila International Airport Authority has released its MIAA Administrative Order on leases and fees. While costs and fees are often absorbed by clients and the riding public, a substantial increase in the cost of travel out of NAIA may constrain travel volumes too,” the company said.
“Also, the lease of the MacroAsia Special Ecozone where LTP is located will be subjected to renewal in the last quarter of 2025, with the expectation of higher lease rates. While renewal is at the option of the Lessee for another 25 years, the renewal of the contract is not guaranteed and shall be subject to mutual agreement of both parties. As an export enterprise, LTP’s clients include airlines which are not commercially operating in the Philippines and thus, have no direct benefit from capacity changes or improvements in NAIA. MacroAsia Properties as a PEZA developer and LTP as a PEZA locator are already discussing with the authorities about key terms for the ecozone’s renewal,” it added.