Listed firms’ earnings rise 24% in Q1

The combined net profits of companies listed at the Philippine Stock Exchange (PSE) rose 24 percent in the first quarter this year to P134.66 billion, mainly due to higher earnings posted by the financial, industrial, property and holding firms.

Based on data gathered by the PSE, consolidated revenues of listed companies increased 18.9 percent to P1.02 trillion from P858.34 billion the previous level.

“The robust first quarter results of listed companies validate the impressive performance our market has had so far, highlighted by the PSEi rewriting record highs 19 times already this year. This also underscores the fundamental soundness of our companies, which add to their potential for consistent future performance,” PSE president and chief executive officer Hans B. Sicat said.

Four out of six sectors recorded positive net income growth led by the financial sector, which surged 73.2 percent. Securities trading gains were the main proponent for the collective net income increase of firms in the financial sector.

On a revenue basis, five of the six sectors registered higher revenues, with the financial sector again leading the pack with a 26.6 percent jump.

The cumulative profits of companies in the industrial sector grew 31.9 percent due to nonrecurring gains and increased contributions from subsidiaries.

Combined net income of firms in the property sector climbed 25.1 percent on account of improved real estate sales.

Companies in the holding firms sector experienced a 22.7 percent hike in their collective net income due mainly to dividend earnings and improved income contributions of their subsidiaries and associates.

Meanwhile, aggregate profits of firms in the services sector slid 8.2 percent on account of the absence of nonrecurring gains and higher costs of sales and operating expenses.