AEV posts 44% jump in 9-month earnings

MANILA, Philippines – Cebu-based conglomerate Aboitiz Equity Ventures Inc. (AEV) reported a 44 percent year-on-year increase in its consolidated net income in the nine months to September.

In a disclosure to the Philippine Stock Exchange (PSE) yesterday, AEV said its consolidated net income grew to P17.1 billion from P11.9 billion while core net income rose 37 percent to P17.1 billion.

AEV’s business includes power, banking and financial services, food, land, and infrastructure.

Erramon I. Aboitiz, AEV president and CEO, said the company’s efforts to grow the business including investing in new assets were paying off.

“Our efforts to pursue organic growth, invest in new assets, and strengthen operational capabilities have resulted in strong profit contributions from our power, banking and financial services, and infrastructure business units. As we ride on the tailwind that a growing economy brings, we will continue to build a sustainable, responsible, and industry-leading enterprise,” Aboitiz said.

Among the business segments, power accounted for 63 percent, followed by the banking and financial services (22 percent), food (seven percent), infrastructure, and land strategic business units (SBUs)  (one percent).

Aboitiz Power Corp. contributed P11.6 billion to AEV’s total net income, up 24 percent year on year.

“On a stand-alone basis, AboitizPower’s bottomline year-to-date increased 24 percent to P15.1 billion. Adjusting for non-core items, the company’s core net income for the first nine months of 2016 amounted to P15.2 billion, up by 17 percent YoY,” AEV said.

 Banking arm Union Bank of the Philippines (UnionBank) and its subsidiaries contributed P4 billion to groupwide earnings, representing a 178 percent surge.