Business

JG Summit swings to P2.6B loss in Q2 on COVID-19 hit

Gokongwei-led JG Summit Holdings Inc. reported a second quarter net loss of P2.26 billion, a reversal of the P10.94 billion profit recorded in the same period a year ago due to the impact of COVID-19.

This brings the conglomerate’s six-month loss to P720 million compared with a net income of P17.39 billion last year.

Revenues dived 41.5% to P48.6 billion in the second quarter and by 26.4% to P158.4 million in January to June, weighed down by the dismal operations of the group’s airline and petrochemicals businesses owing to the coronavirus outbreak.

JG Summit booked a P2.27 billion mark-to-market loss on trading of financial assets and derivative instruments compared with a market valuation gain of P1.07 billion the previous year.

The group recognized a net foreign exchange gain of P522 million, higher than the P412 million earned last year due to the appreciation of the Philippine peso versus the dollar in respect to its dollar-denominated long- term debt.

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