FILINVEST Development Corp. (FDC) said profit last year hit P12 billion, up 23 percent from P9.8 billion in 2018.
“The strong performance was on the back of a revenue growth of 15 percent, with its core businesses in banking and property, as well as power and sugar, all registering notable increases,” the company said.
The company said its property business – real estate and hospitality segments – continues to be a solid source of growth for the group, contributing more than half of FDC’s bottom line.”
“The banking and financial services subsidiary, East West Banking Corp. (EastWest Bank), delivered a net income contribution to the group of P6.1 billion, growing by 45 percent. Power subsidiary, FDC Utilities, Inc. (FDCUI), contributed P2.5 billion in net income, rising by 20 percent from the previous year,” the company also said.
Josephine Yap, FDC president, said 2019 was a banner year for the group as the company met goals in core businesses, gained further traction in the new businesses and achieved record financial results.
“This was done through our continued focus on the delivery of products and services to the dynamic yet underserved middle market,” Yap said.
“The COVID-19 pandemic, however, has put an unexpected pause to our 2020 plans. Our attention was diverted as we worked closely with the public and private sectors to mobilize resources towards health care, testing and community assistance. The foundations of the Filinvest group pledged P100 million to this fight. Nevertheless, the Filinvest group is in a solid position to address the forthcoming challenges posed by this crisis,” Yap added.
Realty arm Filinvest Land Inc. (FLI) posted lots, condominium and residential unit sales of P21.5 billion, up 5 percent.
“Rental revenues from FLI as well as Filinvest Alabang, Inc. (FAI) grew by 21 percent to P7.5 billion on the back of a total building and land lease portfolio of almost 1.1 million square meters of gross leasable area (GLA). The group’s office buildings are currently concentrated in its three major PEZA hubs in Filinvest City in Alabang, Mimosa Plus in Clark Special Economic Zone and Cebu,” the company said.
In October 2019, FAI signed a joint venture agreement with Japanese company Mitsubishi Corp. for the development of a P15-billion multi-tower mixed-use complex within Filinvest City. Mitsubishi will have a 40 percent stake in the development of a 1.7-hectare lot seen to bolster mixed-use GLA by approximately 183,000 square meters.
The hotel operations meanwhile posted revenues of P3.3 billion, up 24 percent, boosted by the opening of Crimson Resort and Spa Boracay in November 2018 and Quest Tagaytay in April 2019, combined with higher occupancy rates.
FDC’s subsidiary, Filinvest Hospitality Corp. (FHC), currently has a portfolio of six managed properties with approximately 1,800 rooms under the Crimson and Quest brands.
EastWest Bank revenues was at P36.4 billion, up 21 percent, driven by a combination of 12 percent growth in net interest income and 16 percent increase in non-interest income. Loan growth was at 10 percent while non-interest income was led by trading gains of P966 million as well as service charges, fees and commissions that grew by 7 percent to P5.2 billion.
FDCUI meanwhile posted revenues of P10.1 billion, up 17 percent, as a result of higher sales volume FDCUI operates an aggregate 405-megawatt clean coal plant in Misamis Oriental which is the largest operating baseload power plant in Mindanao. The plant operates efficiently, being able to maintain a high availability factor of 91 percent in 2019, allowing it to serve its disperse customer base of 15 distribution utilities and a private company.
