Lopez Holdings earnings surge as ABS-CBN slashes losses
Lopez Holdings Corp. reported a 123-percent surge in attributable net income to ₱6.34 billion last year, from the ₱2.85 billion earned in 2023, due to a lower equity share in the net losses of broadcast giant ABS-CBN Corp.
In a disclosure to the Philippine Stock Exchange (PSE), the firm said its lower share in ABS-CBN’s losses more than offset the lower net income of First Philippine Holdings Corp. (FPHC).
In 2023, ABS-CBN provided for impairment loss on its various assets, goodwill, program rights, and other intangible assets, amounting to ₱9.13 billion. Lopez Holdings owns 53.55 percent of ABS-CBN through Lopez Philippine depository receipts (PDRs).
Consolidated revenues inched up by one percent year-on-year to ₱167.11 billion from ₱164.95 billion, with all revenue items coming from FPHC’s group performance, as follows: sale of electricity, zero percent; real estate, up 22 percent; contracts and services, down five percent; and sale of merchandise, up seven percent.
Consolidated costs and expenses also increased by one percent to ₱132.89 billion from ₱131.31 billion, all primarily reflecting FPHC accounts: costs of sale of electricity, zero percent; real estate, up three percent; contracts and services, down 27 percent; merchandise sold, 10-percent higher; and general and administrative expenses, 14-percent increase.
Share in net loss of investment accounted for at equity method—down 79 percent to ₱1.1 billion—largely represents the performance of ABS-CBN, as well as its share in the performance of FPHC units.
All other income, costs, and expenses are mainly FPHC accounts: finance costs, up 16 percent; finance income, down 39 percent; net foreign exchange (forex) gains of ₱466 million, reversing a net forex loss of ₱17 million in 2023; dividend income, three-percent lower; and other income-net, 40-percent drop.
FPHC reported a five-percent decrease in attributable net income to ₱14.32 billion from ₱15.07 billion in 2023. Recurring net income attributable (RNI) to FPHC was steady at ₱13.8 billion.
Its year-on-year consolidated revenues were higher by one percent, at ₱167.11 billion, from ₱164.95 billion.
ABS-CBN reported a 2024 net loss of ₱6.09 billion, 53-percent lower than the ₱12.84-billion net loss in 2023. Revenues were lower by six percent, at ₱17.33 billion, from ₱18.51 billion.