SMIC boosts profit 11% to P15 B in H1

SM Investments Corp., the holding company of the Sy family, reported a consolidated net income of P15 billion in the first half of the year, 11 percent higher than the year ago amid robust growth across all businesses.

Consolidated revenues, grew eight percent to P151.1, officials said.

SMIC president Harley Sy attributed the company’s strong first half performance to the country’s sustained economic growth, buoyed by strong election spending.

“We continue to focus on cost efficiencies and operating margin improvements.

With the merger of our retail businesses we now cater to a much wider range of consumer needs and we look forward to benefiting from increasing consumer spending,” Sy said.

The property business through SM Prime Holdings contributed the biggest chunk at 41 percent followed by banks at 38 percent and retail with 21 percent.

By segment, SM Retail reported a 14 percent increase in net income to P3.5 billion as sales rose nine percent to P105.1 billion.

As of the end of June 2016, SM Retail had a total of 328 stores, comprising 55 THE SM STORES, 47 SM Supermarkets, 45 SM Hypermarkets, 147 Savemore stores and 34 WalterMart stores.

SM Prime posted a consolidated net income of P12.6 billion, up 12 percent year on year as revenues climbed nine percent to P39.2 billion.

BDO Unibank saw a 17 percent jump in net interest income to P31.7 billion as customer loan portfolio grew 21 percent to P1.4 trillion.

The group’s other bank, China Banking Corp. grew its net income by 30 percent to P3.3 billion, driven by strong growth in its core and fee-based businesses.

Net interest income was up seven percent to P8 billion as net loans expanded 12 percent year-on-year to P324 billion.

Both BDO and China Banking Corp., have a combined network of over 1,000 branches.

SM Prime is among the largest integrated property developers in the Philippines with interests in mall, residential, commercial and tourism development.