MacroAsia more than doubles profit in 9 mos

MacroAsia Corp., the listed aviation services company owned by tobacco and beer magnate Lucio Tan, reported a net income of P148.31 million in the first nine months of the year, more than twice the P54.25-million profit recorded in the same period last year.

In its financial report filed with securities regulators, MacroAsia attributed the increase to higher earnings of affiliated and associated companies.

Total consolidated revenues rose 12.38 percent to P628.23 million from P607.09 million, mainly due to the increase in revenues from in-flight catering activities.

Revenues from catering services were higher due to the increase in number of flights and number of airline clients serviced which translated to higher number of meals served.

Ground handling revenues likewise increased 12.3 percent or by P6.5 million due to higher number of flights serviced year-on-year.

Operating expenses in relation to operating revenues increased by P2.9 million (or two percent) compared with same period last year.

Direct costs increased by P35.6 million (or eight percent) from the same period last year due essentially to increases in raw materials and overhead costs.

Equity in net income of associates increased by P66.07 million (or 113 percent) year-on-year, mainly due to Luthansa Technik Phils.’ increased profits for the period.

The company incurred a net foreign exchange loss of P9 million as of Sept. 30, 2006, higher by P6.8 million (or 304 percent) as a result of a stronger peso against the dollar.

As of end-September this year, MacroAsia’s total assets grew six percent to P2.7 billion or by P150 million.

MacroAsia is engaged primarily in aviation-related businesses which include airport services, in-flight catering services and ground handling services. It runs charter flights through MacroAsia Air Taxi Services Inc.

The firm also operates in-flight catering services through Cebu-Pacific Catering Services Inc. and MacroAsia Eurest Catering Services Inc. The company services the in-flight catering needs of most international airlines flying out of Manila and Cebu. It likewise has an interest in the real estate industry with its wholly owned subsidiary MacroAsia Properties Development Corp.