MacroAsia Corp. said Monday it returned to profitability in 2022 as gains from its aircraft maintenance, repair and overhaul, airline catering, ground handling and water concession businesses drove revenue more than double.
Macroasia said it booked a net profit of P461.4 million last year, a sharp reversal from a net loss of P150.9 million. It posted revenues of P4.88 billion, more than double the P1.95 billion in 2021.
As governments around the world eased travel restrictions imposed due to the COVID-19 pandemic, airport activities picked up, nudging passenger volumes to pre-pandemic levels.
MacroAsia said, however, that because of the lessons taught by the pandemic, it has diversified to non-airline businesses and those ventures last year contributed a quarter of group revenues.
The aircraft maintenance, repair and overall business, Lufthansa Technik Philippines, is MarcroAsia’s joint venture with Lufthansa Technik of Germany. The JV’s clients include local airlines and international carriers, some of whom do not have commercial flights into the Philippines but just send their airplanes for repair.
MacroAsia has majority-owned subsidiaries that operate an inflight kitchen for Philippine Airlines and another inflight kitchen for foreign airlines. It also operates a commissary that was operational a few months before the COVID-19 pandemic started early in 2020 and is now a significant revenue pillar for the company.
The company said it strengthened its financial position in 2022 as it was able to generate sufficient cash flow to enable the reduction of interest-bearing debt and expand the working capital of four business units, without need for equity infusion. Total assets increased to PHP11.5 billion last year from PHP10.4 billion in 2021.
