LBC 6-month net income drops 54%
LBC said that by segment, revenues from retail business grew by 50 percent to P4.95 billion from P3.3 billion year-on-year
LBC Express Holdings Inc. reported net income in the first six months plunging 54 percent due primarily to lower foreign exchange (forex) gains and to losses reported by an acquired entity, among others.
In a disclosure to the Philippine Stock Exchange on Monday, LBC said its net income dropped to P548.95 million from P1.19 billion year-on-year, after incurring forex gains of only P125.8 million and a P206.61-million net loss from an acquired entity in 2018.
The adoption of the Philippine Financial Reporting Standard-16 (PFRS-16) on leases also weighed on the company’s performance, as it resulted in higher depreciation and interest expense that offset the decline in rentals.
Meanwhile, revenues increased by 36 percent to P7.85 billion from P5.78 billion on the back of higher earnings from its logistics and remittance segments, which rose by 27 percent and 11 percent, respectively.
LBC said that by segment, revenues from retail business grew by 50 percent to P4.95 billion from P3.3 billion year-on-year, while corporate logistics and money remittances grew 17.4 percent to P2.36 billion from P2.01 billion.
In the domestic front, revenues increased by 20 percent, with growth attributed to the opening of 75 retail branches during the period.
LBC is mainly engaged in the business of logistics and money transfer services.
In May this year, it announced the sale of some 1.86 million shares in QUADX Inc., consistent with efforts to refocus strategic directions that included the implementation of organizational changes and turning around losses.