SM Investments Corp. (SM) said profit for the first quarter of the year reached P9 billion, down 16 percent from last year’s P10.71 billion.
Revenues amounted to P111.2 billion, up 2.01 percent from P109 billion the prior year.
“Banks contributed 46 percent of net income, while property and retail added 44 percent and 10 percent respectively,” the company said.
The company said the results partially reflect the impact of the enhanced community quarantine (ECQ) and the effects of the new coronavirus disease 2019 (COVID-19) pandemic.
“The ECQ and broader pandemic started to weigh on our performance during the first quarter. Our strong balance sheet, capabilities and partnerships provide us with the flexibility to anticipate and adapt to changes in customer needs and behaviors. We are actively enhancing digital and delivery services across all our core businesses, while also working to support and protect our employees, customers, MSMEs (micro, small and medium enterprises) and business partners,” said Frederic DyBuncio, SM president.
SM Retail Inc. posed profit of P1.2 billion, down 56 percent from P2.7 billion last year. Revenues reached P81 billion, up 3 percent from P79 billion last year.
SM Investments said the revenues from SM Retail’s specialty retail stores was down 16 percent at P16.5 billion from P19.6 billion last year.
The property business under SM Prime Holdings Inc. recorded profit of P8.3 billion, down 5 percent from P8.8 billion in 2019. Revenue reached P25.8 billion, down 3 percent from P26.5 billion last year.
SM Investments said SM Prime’s mall business, which accounts for 47 percent of consolidated revenues, has temporarily closed operations since the implementation of ECQ, except for stores that offer essential products and services.
Philippine malls posted revenues of P11.3 billion, down 16 percent from P13.5 billion last year. Mall rental rental revenues was at P10.1 billion, down 12 percent lower than last year’s P11.5 billion.
SM Prime’s residential development, under SM Development Corp. (SMDC) recorded revenues of P11.4 billion, up 23 percent from P9.3 billion last year. Reservation sales was at P24.8 billion.
BDO Unibank Inc. posted profit stood at P8.8 billion, down 10.2 percent from P9.8 billion last year. Net interest income was at P33.0 billion on stable margins. Customer loans was up 11 percent to P2.2 trillion while total deposits rose by 9 percent to P2.6 trillion.
China Bank reported profit of P2.2 billion, up 19 percent, driven by sustained growth of its core businesses. Net interest income grew 34 percent to P7.9 billion. Gross loans grew 15 percent to P592 billion while deposits rose 9 percent to P785 billion.
