Anscor profit jumps four-fold to P3.04B due to asset sales

Boosted by asset sales investment holding firm, A. Soriano Corp. (Anscor) posted a net income of P3.04 billion last year, more than four times the P637-million profit reported in 2005.

In a financial report filed with the Securities and Exchange Commission, Anscor said the 2006 profit includes a one-time gain from the sale of its shares in port operator International Container Terminal Services Inc. and business process outsourcing (BPO) service provider SPI Technologies.

Anscor sold its 23-percent stake in ICTSI to the latter’s chairman and president Enrique Razon for P5.91 billion or P11.75 each share.

Gross revenues jumped by 108 percent to P7.9 billion from only P3.8 billion as a result of these major divestments and the improved sales performance of Phelps Dodge Philippines Energy Products Corp. (PDE).

Anscor’s equity portfolio generated a return of 119 percent while its foreign currency placements in bonds, mutual and hedge funds earned a return of 15 percent without the peso appreciation and 7.6 percent with it.

Financial assets contributed income of P374 million compared with only P157 million in 2005.

Earnings per share amounted to P2.01 from only P0.37 while its total assets stood at P8.66 billion as of end-2006 as against P7.6 billion the previous year.

PDE registered a record P3.9 billion in revenues, buoyed by high copper prices and the introduction of new products and expanded market coverage in the provinces. As a result, net income amounted to P254 million, representing a 52-percent growth from the year earlier and its highest level ever.

As for its (BPO) business, e-Telecare Global Solutions Inc. reported a net income of $12.2 million, a reversal of the $1.8-million net loss incurred in 2005. Revenues rose 28 percent to $195 million from only $153 million.

The turnaround was attributed to the roll-out of new programs for existing clients, made possible through expanded operations in the Philippines and improved utilization of its US facilities.

Anscor said it is exploring various alternatives to meet the capital requirements of e-Telecare including a possible initial public offering of shares.

It earlier said about P300 million to P350 million will go to the expansion of its IT-related businesses.

Meanwhile, Multi-Media Telephony Inc., a subsidiary of Anscor, is seeking approval of its application for the remaining 3G license in the country as it seeks to solidify its position in the telecommunications sector.

MTI said it is also seeking the approval of the National Telecommunications Commission for authority to transport traffic between and among local exchanges on a nationwide basis and the license to operate an international gateway facility to send and receive international voice and data traffic.

MTI is testing new and exciting personal communication devices that will enable it to take advantage of the largely untapped and underserved personal mobile data market.

In anticipation of greater subscriber uptake, MTI has opened a new business center in Makati and expects to open more business centers in Greater Manila within 2007.

MTI is currently negotiating with a strategic partner for a joint venture and equity infusion. Talks are expected to be concluded before the end of the year.

Anscor said it also hopes to expand investments in other sectors like the healthcare industry.

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