SM Investments Corp. reported profits of P33.1 billion for the first nine months of the year, up 26 percent from P26.27 billion a year ago.
Revenues grew 14 percent to P350.7 billion from P307.4 billion the year earlier.
“Our core businesses continue to deliver notable performance led by banking and property.
We are satisfied with our financial results as these reflect the continued growth in our core businesses. This quarter, we are also pleased that our efforts to strengthen our Environment, Social and Governance (ESG) practices are being recognized,” said Frederic DyBuncio, SM president.
“For the period year-to-date ending September, banks accounted for 44 percent of SM Investments’ reported net earnings, followed by property at 39 percent and retail at 17 percent,” the company said.
The retail operations under SM Retail Inc., consisting of both food (SM Markets) and non-food (The SM Store and Specialty Retail), posted profits of P7.8 billion, down 1 percent as a result of adjustment under a new accounting standard under the Philippine Financial Reporting Standards 16 which took effect this year.
The property business under SM Prime Holdings Inc. posted a consolidated net income of P27.6 billion, up 18 percent, while consolidated revenues rose 14 percent to P85 billion. Revenues from its Philippine malls rose 8 percent to P42 billion. Same-mall-sales growth was sustained at 7 percent.
Revenues from the residential business, led by SM Development Corp. (SMDC), increased 26 percent to P31.9 billion. SMDC’s reservation sales grew 26 percent to P66.4 billion.
For the banking business, BDO Unibank Inc. grew its profit by 49 percent to P32.1 billion.
Net interest income rose to P88.5 billion, supported by a 6 percent increase in customer loans to P2.1 trillion and a 3 percent growth in total deposits to P2.4 trillion.
China Banking Corp. also posted a profit of P6.7 billion, up 21 percent. Net interest income increased 9 percent to P18.7 billion. Its loan portfolio expanded 10 percent to P552.5 billion, while total deposits grew 12 percent to P777.2 billion.
SM Prime closed the period with assets of P1.1 trillion, up 7 percent. Gearing ratio stood at 45 percent, net debt to equity at 55 percent.