GT Capital net income up 15% in 3rd quarter

GT CAPITAL Holdings, Inc. achieved another double-digit earnings growth in the three months to September, as revenues from its automotive and real estate businesses as well as share in the income of associates further rose.

In a quarterly report released on Tuesday, the holding firm of billionaire George S.K. Ty chalked a 15% increase in net income attributable to its equity holders to P3.19 billion from the P2.79 billion booked a year earlier.

Including amounts attributable to non-controlling interests, however, the consolidated net income of GT Capital subsidiaries and associates ended broadly flat at P4.93 billion.

The listed company’s revenues jumped 36% year on year to P54.67 billion from P40.25 billion during the third quarter. At the same time, however, cost and expenses hiked 42% to P48.69 billion from P34.23 billion.

In the first nine months, GT Capital realized a 46% increase in net income attributable to its equity holders to P12.30 billion from P8.41 billion. Including those attributable to non-controlling interests, earnings rose 33% to P18.81 billion from P14.18 billion.

The nine- month financial performance reflect “solid contributions” across business segments, GT Capital President Carmelo Maria Luza Bautista said in a statement, with consolidated revenues growing 38% to P157.12 billion from P113.48 billion.

“The strong performance also reflects the positive impact of the various strategic initiatives we implemented during the first half of the year. We remain confident that this favorable momentum in our core business is sustainable for the last quarter and into the coming year.”

GT Capital particularly benefited from sustained strong vehicle sales from Toyota Motor Philippines Corp. (TMP) and Toyota Manila Bay Corporation (TMBC) as well as higher contributions from net income of associates, particularly Metro Pacific Investments Corp. (MPIC).

Revenues from TMP soared 40% to P115 billion from P81.9 billion, amid strong demand for Vios, Wigo, Hiace, Fortuner, Innova, Avanza and Hilux models. TMP dominated the automotive industry with an overall market share of 39%, after selling 114,419 vehicles or 28% more during the nine-month period.

MPIC, meanwhile, reported a 23% increase in consolidated revenues to P33.1 billion and 13% in consolidated core net income to P9.3 billion. GT Capital entered into a strategic partnership with MPIC in May. After disposing its 56% stake in Global Power, the Ty-led company then acquired a 15.6% in the listed conglomerate chaired by Manuel V. Pangilinan.

GT Capital’s banking business — Metropolitan Bank & Trust Co. — reported a consolidated net income of P12.6 billion, with deposits in current and saving accounts growing 21% to P790.8 billion while net loans and receivables surged 26% to P965.1 billion.