Lopez Holdings profit up 6% in 2016
LOPEZ HOLDINGS Corp. reported a 6% increase in profit last year, on the back of sustained growth of investees First Philippine Holdings Corp. (FPH) and ABS-CBN Corp.
In a regulatory filing, Lopez Holdings said its net income attributable to equity holders of the parent stood at P6.557 billion, from 2015’s P6.191 billion
“The steady performance of investees FPH and ABS-CBN accounted for the results. FPH, which is consolidated by Lopez Holdings, also reported one-off gains in 2016,” the listed holding company of the Lopez family said.
Lopez Holdings owns 46% of FPH, which maintains interests in energy, property, construction and energy services, and a 56% economic interest in ABS-CBN.
Consolidated revenues slipped 5% year on year to P91.910 billion in 2016, due to the decline in sale of electricity of FPH subsidiary First Gen Corp.
Lopez Holdings’ financial performance mainly reflects the results of FPH, which booked an 84% surge in net income attributable to equity holders, to P9.933 billion in 2016, despite a 5% decrease in revenues to P91.910 billion.
“Higher margins on the sale of electricity, receipt of liquidated damages and arbitration settlement proceeds by FPH subsidiaries, and higher dividend income accounted for the results,” Lopez Holdings said of FPH’s results.
The sale of electricity accounted for 81% of FPH’s revenues in 2016, lower than the 86% share in 2015.
Meanwhile, ABS-CBN’s net income jumped 39% to P3.53 billion last year from P2.55 billion, “on account of solid advertising revenues, boosted by election-related advertisements, and a recovery in consumer sales.”
The media giant’s revenues went up 9% to P41.631 billion, as ad sales accounted for 57% of its total revenues from 56% in 2015.
In terms of nationwide ratings, ABS-CBN stated that it continues to have an average audience share of 45% across both urban and rural homes.
Incorporated in 1993, Lopez Holdings was formerly known as Benpres Holdings Corp.
Shares in Lopez Holdings slipped 0.11% to P45.95 apiece on Tuesday. -- Arra B. Francia