SM Investments Corp. (SMIC) is leaning on financial discipline, diversification, and ready access to capital to navigate persistent geopolitical and market volatility, Chairman Amando M. Tetangco Jr. told stockholders on Wednesday.
Tetangco said the conglomerate continues to prioritize manageable debt levels and ample liquidity, ensuring it can move decisively when financial conditions tighten. He added that SMIC’s broad portfolio—spanning retail, property, banking, and other investments—helps cushion the impact of sector-specific shocks.
Equally critical, he said, is securing funding well ahead of periods of stress, both in domestic and international markets, to strengthen the group’s ability to respond to sudden swings.
“Volatility is now a feature of the operating environment,” Tetangco said, underscoring the need to stay liquid, pace investments carefully, and remain flexible enough to seize opportunities.
He emphasized that resilience must be built before disruptions occur, reinforcing SMIC’s long-standing strategy of prudence, diversification, and readiness in an increasingly uncertain global landscape.
SMIC aims to match the pace of expansion it achieved over the past two decades, when its assets surged 965 percent. Since its 2005 listing, the group has grown its asset base to P1.8 trillion from P169 billion, reflecting sustained expansion across its core businesses.
Franklin C. Gomez, SMIC executive vice president for finance, said the group’s momentum remains intact.
“Last year was another solid year for us, marked by record earnings and continued expansion,” he told shareholders. “Our group is strong, our growth plans are clear, and our approach is disciplined.”
Gomez said SMIC’s strategy rests on five pillars: leveraging synergies across its businesses, maintaining a conservative balance sheet, upholding strong governance and sustainability standards, compounding long-term value, and staying firmly committed to the Philippines.
“We are clear on how we create significant long-term value,” he said, noting the group’s focus on operating and nurturing its businesses rather than acting solely as a financial investor.
SMIC also aims to strike a balance between near-term returns and long-term growth—rewarding shareholders with dividends while continuing to expand earnings, assets, and overall value.
“We plan ahead,” Gomez said, pointing to the conglomerate’s forward-looking approach as it positions for the next phase of growth.
