Diversified conglomerate San Miguel Corp. said Wednesday first half net income rose 18 percent year-on-year to P23.3 billion on the lift provided by its beer, liquor, and infrastructure units, and the gains delivered by newly-acquired Eagle Cement.
Rising costs tempered the growth of the group’s consolidated operating net income to P69.9 billion, up 5 percent from the year-earlier period.
San Miguel said consolidated revenue was down 4 percent to P686.2 billion as Petron Corp. suffered from declining crude oil prices while San Miguel Global Power struggled with lower sales volume.
“We are greatly encourage by the sustained growth we are seeing across most of our business,” said San Miguel president and chief executive officer Ramon Ang. “While there are challenges, we’re confident in the program we have put in place to address them.”
“We are keeping our focus on executing on our projects, implementing our growth strategies, and providing our customers the high-quality service they expect from San Miguel,” Ang added.
San Miguel Food and Beverage earlier reported a 7 percent growth in gross revenue to P184.6 billion in the first half while San Miguel Global Power recorded a 25 percent drop in offtake volume to 10,685 gigaWatt-hours due to the termination of the 670-megaWatt power supply deal with Manila Electric Co.
Petron saw sales volume increase by 12 percent in the first half to 56.7 million barrels–with growth seen both in the Philippine and Malaysia, declining refinery margin sent its net income down 20 percent to P6.14 billion.
Increased traffic volume at its tollroads allowed SMC Infrastructure to boost revenue by 23 percent to P16.6 billion and operating income by 50 percent to P9 billion.
San Miguel’s cement business, which now include Eagle Cement, tripled revenue to P20.2 billion while first-half net income surged to P3.0 billion from P398 million.
