Roxas Holdings cuts net loss to P92M

LISTED Roxas Holdings Inc. ( RHI) trimmed its net loss to P92 million in the six months ending March from P364 milM lion in the same period last year.

In a disclosure on Wednesday, the integrated sugar and bioethanol producer reported that its consolidated revenues totaled P2.79 billion, a 22-percent decline from P3.46 billion in the six-month period in 2019.

“RHI’s sugar operations were significantly affected by the drop in cane supply due to unfavorable weather conditions, the erupM tion of Taal Volcano in January and increased cane competition in Batangas [province],” RHI Chairman Pedro Roxas said in the filing.

“On the other hand, the group’s milling operations in Negros fared better with a 7-percent increase in raw sugar production compared to the previous year,” he added.

For this year, RHI is focused on crafting a road map for interventions that would increase the annual output for its sugar products, RHI President and Chief ExecuM tive Officer Hubert Tubio said.

According to him, the profits of the firm’s bioethanol segment decreased as feedstock costs soared in the first half of the crop year, which started in October.

“The high price of molasses affected the ethanol segment’s operations, resulting in lower production volume,” Tubio said.

He added that the ethanol group was also exploring the commercial production of ethyl alcohol amid the coronavirus disM ease 2019 (Covid-19) pandemic.

The company has so far contributed more than 90,000 liters of ethyl alcohol to various government units and other groups since March as the country intensiM fied its fight against the pandemic.

For his part, RHI Executive Vice PresiM dent and Chief Finance Officer Celso Dimarucut said that, “despite the many challenges we face, especially with the onM slaught of Covid-19, RHI has continued to manage its cash flow to ensure continuous manufacturing operations and is exploring all opportunities to reduce debt.”

RHI is majority-owned by Hong Kong’s First Pacific Co. Ltd. Along with its subsidM iaries, RHI produces raw and refined sugar in different grades, offer tolling or refining services to raw sugar owners, and produce fuel ethanol for local oil companies.

RHI shares tumbled by 1 centavo or 78 percent to close at P1.28 apiece on Wedensday.