PPA earnings grow 19% in Q1

MANILA, Philippines — One of the government’s biggest dividend contributors grew its profit by 19 percent in the first quarter, propelled by a double-digit hike in revenue despite recent tensions in the Middle East.

The Philippine Ports Authority (PPA) reported that its net income rose to P4.61 billion in the January to March period, from P3.88 billion a year ago.

The regulator of domestic ports hiked its profit as revenue expanded by 12 percent to P8 billion, outpacing the five-percent jump in expenses to P3.39 billion.

By segment, the PPA drew P7.99 billion from business activities, primarily from the collection of service fees in ports. The agency raised P2.5 million in other income, P1.92 million in gains and P120,000 from grants and shares.

The PPA posted a four-percent increase in non-cash expenses to P2.27 billion and a 44-percent hike in personnel costs to P605.97 million. This was mitigated by an 18-percent drop in maintenance spending to P510.13 million and 33-percent decline in financial expenses to P4.05 million.

With a higher profit in hand, the PPA is on track to match, if not beat, its P8.27-billion record in 2025, staying as one of the most viable government-owned and controlled corporations.

Further, the PPA draws the dividends it remits to the Bureau of the Treasury from its profit, and last year the agency turned over a contribution of P5.33 billion.

Under Republic Act 7656, or the Dividends Law, state-run entities like the PPA must transfer at least half of their profit to the Treasury to increase funding for government projects.

The PPA is one of the government’s largest dividend sources. The agency has always been in the big league of dividend remitters, along with the Bangko Sentral ng Pilipinas, Philippine Deposit Insurance Corp. and the Philippine Amusement and Gaming Corp.

In 2025, the PPA generated its highest revenue in history at P30.09 billion. For 2026, the agency looks to sustain momentum by relying on the resilience of the logistics industry.

Still, the PPA could lose steam in the coming months if trade and travel volumes come down as a result of price hikes and shipping disruptions triggered by the unresolved war in the Middle East.

In response, the PPA is undertaking several measures to mitigate the impact on shipping, one of which is by lowering the terminal fee to just P1 for agricultural transport.