Aboitiz net income declines by 30 percent

LISTED Aboitiz Equity Ventures Inc. (AEV) on Monday reported that it netted P15.4 billion last year, down 30 percent from P22 billion in 2019.

In a filing to the exchange, the conglomerate said its power segment accounted for 52 percent of the total income contribution of the company’s strategic business units (SBU).

The financials segment contributed 32 percent, followed by food at 12 percent, infrastructure at 2 percent, and real estate at 2 percent.

AboitizPower Corp.’s net income contribution to AEV last year was at P9.7 billion, down 27 percent from P13.3 billion in 2019.

On a stand-alone basis, AboitizPower’s core net income for 2020 was 25-percent weaker year-onyear at P12.5 billion.

The income contribution of its banking unit, Union Bank of the Philippines, was at P5.9 billion, an 18-percent slip from P7.2 billion in 2019.

The net income contribution of AEV’s non-listed food subsidiaries, on the other hand, rose 38 percent to P2.2 billion in 2020 from P1.6 billion.

The food SBU’s Philippine subsidiaries posted a net income of P1.2 billion in 2020.

The feeds segment’s earnings jumped 119 percent year-on-year to P999 million on the back of higher volume and lower raw material costs.

The flour segment inched up by 1 percent to P716 million, while the farms segment incurred a loss of P552 million.

The contribution of food’s international subsidiaries increased by 29 percent to P978 million.

Meanwhile, the consolidated net income of the firm’s real estate businesses slumped 64 percent to P388 million last year from P943 million.

It also contributed 15-percent lower revenues of P3.5 billion as quarantine restrictions slowed construction activities and hampered operations.

AEV’s infrastructure group also shed 4 percent to P590 million last year from P612 million in the previous year.

Shares of AEV lost 75 centavos or 1.75 percent to end at P42 apiece on Monday.