SM Investments Corp., the investment holding company of the Sy Group, opened 2026 with steady earnings growth, reporting a 7 percent increase in first-quarter net income to P21.5 billion, supported by broad-based gains across retail, banking, and property.
Revenues rose 5 percent to P159.4 billion, underscoring resilient consumption and stable financial services activity despite a cautious spending environment. Banking contributed 49 percent of earnings, followed by property at 28 percent, retail at 15 percent, and portfolio investments at 8 percent, highlighting the group’s diversified income structure.
The strong earnings performance fed directly into shareholder returns. SM raised its dividend payout by 31 percent to P17 per share from P13 in 2025, extending a five-year streak of consecutive dividend increases and marking another step-up in capital returns alongside ongoing expansion investments.
Total dividends reached P20.7 billion, compared with P16.0 billion a year earlier. The payout reflects a long-term trajectory of accelerating distributions, with parent-level dividends growing from PHP5 billion in 2021 to PHP16 billion in 2025, translating to a compound annual growth rate of over 32 percent.
“This also represents a 2.4 percent dividend yield using the December 31, 2025 share price,” the company said, adding that the increase reflects its ability to generate sustained cash flows while continuing to reinvest in core businesses.
“We intend to provide greater returns to shareholders. Our businesses provide us with strong, diverse and reliable cashflows that enable us to do so while also growing our businesses and maintaining a strong balance sheet,” said President and Chief Executive Officer Frederic C. DyBuncio.
“Our approach remains consistent: reinvest in high-quality businesses and consistently return capital to shareholders,” he added.
Retail remained a key growth driver, with SM Retail posting a 13 percent rise in net income to PHP4.1 billion, supported by non-food categories and seasonal demand. Portfolio investments, including mining, logistics, and food retail, also contributed incremental gains.
With P1.8 trillion in assets and a conservative leverage profile, SM continues to position itself as a cash-generating platform anchored on recurring earnings and disciplined capital allocation.
