Gotianun family-led Filinvest Development Corp.(FDC) managed to pull through the pandemic with earnings growing 38% to P4.2 billion in the second quarter, where the ultimate impact of the lockdown was felt.
FDC attributed the growth to the strong performance of its banking and sugar units as well as cost control measures implemented across the group.
While revenue declined 24.6% to P14.7 billion in April-June, the company reported other income of P5.36 billion or more than double last year’s.
From January to June, FLI grew its net income by 24% to P7.2 billion even as revenues decreased by 16% to P38 billion. Other income grew nearly two-fold to P8.73 billion.
“We are pleased with our robust results in the first half of 2020 but we remain cognizant of the risks of a prolonged quarantine period and are doing measures to mitigate its negative impact,” said FDC president and CEO Josephine Gotianun-Yap.
Real estate operations pumped in P4.59 billion, up 7.6% as the company booked a P2.925 billion gain from the sale of Spectrum Alabang Inc. to Japan’s Mitsubishi Corp.
Among the group’s businesses, the hospitality business was the biggest casualty of the pandemic as it suffered a P298.1 million loss in the first half. This marked a reversal of the P222.8 million profit in the same period last year.
FDC’s major life saver was East West Banking Corp. which saw earnings soar 61.7% to P4.3 billion on better margins from core lending and deposit-taking business and higher trading gains.
Net income from sugar operations climbed 19% to P310 million as revenues increased by 10.5% to P2.75 billion.
The group’s power business, on the other hand, reported a 10.4% drop in profit to P995.8 million as sales declined due to soft demand.