SMIC cash dividends reach P10.9B
‘For the third year in a row, as a result of the group’s strong performance, we have substantially raised our dividends, which now meet the levels we achieved before the pandemic’
The Sy family-led SM Investments Corporation (SMIC) has disclosed that its dividends amount to over P10 billion, announcing a P9 share for stockholders in 2023.
During the 2024 Annual Stockholders’ Meeting at the Conrad Hotel on Wednesday, SMIC chairperson and independent director Amando Tetangco Jr. said cash dividends reached P10,998,210,222, with P9 per share during the record date of 9 May 2024, payable 23 May 2024.
At the stockholders meeting, SM Investments president and chief executive officer Frederic DyBuncio said the Board of Directors has approved a 20 percent increase from the previous year in dividends payout due to strong performance and strategic growth initiatives of the SM Investments core industries, such as retailing, banking, property and portfolio investments.
“For the third year in a row, we have substantially raised our dividends, which now meet the levels we achieved before the pandemic. This is the result of the strong performance of the group,” he said.
DyBuncio also reported that SMIC posted a strong financial performance last year, with P77.0 billion in net income, up 25 percent compared to P61.7 billion they reaped in 2022, and a P616.3 billion revenue or up 11 percent versus P553 billion a year prior.
“Capital expenditure for this year for SMIC is projected at around P110 to P115 billion, higher compared to last year’s P80 billion,” DyBuncio told reporters.
Expansion plans
Meanwhile, DyBuncio said the SM group will continue to invest in growth in the Philippines, as they are committed to being a catalyst for responsible development.
“We have a young, dynamic, higher-earning population who will help support and drive economic activity,” DyBuncio said.
“Our strategy is to continue to expand coverage nationwide to create new markets that improve access to these sectors,” he noted, stressing that there are many areas in the country that have yet to benefit from access to modern retailing, formal financial services, and integrated property developments.
SMIC holding firm, SM Prime Holdings Inc. is opening four new malls, one in Metro Manila and three in the provincial areas in 2024.
Elevating mall experience
SM malls will continue to elevate the mall experience by creating more, building on the innovative attractions introduced in 2023 including larger-than-life installations and Instagrammable spots in various malls, concert series in the cinemas, holding e-sports tournaments and unveiling the SM Game Park at the Mall of Asia focused on indoor sports activities, among many others.
Capital expenditure for this year for SMIC is projected at around P110 to P115 billion, higher compared to last year’s P80 billion.
Meanwhile, SM Development Corporation also plans to roll out 8,000 to 10,000 residential units this 2024 in the northern part of the Philippines and across Visayas and Mindanao, while SM Hotels is slated to officially launch its first Lanson Place property at the Mall of Asia Complex, Pasay City today.
On SMIC’s retail segment, Alfamart, SM’s minimart grocery format, is set to increase its store expansion by at least 400 stores in 2024.
SMIC said its banking segment, BDO, also continues to expand coverage nationwide with BDO and BDO Network Bank planning to increase branches by a combined 100 to 120 this year.
Besides the growth of its core businesses, SM is investing in emerging sectors through projects such as its commitment to supporting clean energy sources.
With the acquisition of the Philippine Geothermal Production Company (PGPC), SM is set to explore new steam fields in Northern and Southern Luzon to double the company’s current steam production of 300 megawatts within the medium term.
Renewable energy
For its investments in renewable energy, the Board of Investments has recently awarded Green Lane Certificates to the following PGPC geothermal projects: Daklan Geothermal Power Project in Benguet, Mt. Labo Geothermal Power Project in Quezon, Camarines Norte and Camarines Sur, Mt. Malinao Geothermal Power Project in Camarines Sur and Albayand BauaSikaw Geothermal Power Project in Cagayan, seen to generate around 2,000 jobs during exploration and development, which will boost livelihood in each respective locality.
2GO Group Inc. remains on course in providing seamless logistics solutions. With the addition of its two new ships setting sail, 2GO will have 10 ROPAX (roll-on/roll-off passenger) and one freighter or a total of 11 vessels in its fleet, serving 19 ports of call.