Aboitiz Equity Ventures Inc. saw its consolidated net income plunge by 55 percent to ₱3.9 billion in the first quarter, weighed down by the dismal performance of its power, banking and food businesses.
The biggest drag on AEV’s bottom line was AboitizPower Corp. which reported a 53 percent drop in earnings to P2.9 billion due to non-recurring losses of P22 million as a result of the revaluation of dollar-denominated liabilities.
AboitizPower’s income contribution to AEV tanked 69 percent to P1.5 billion.
Excluding extraordinary items such as liquidated damages, business interruption claims, Typhoon Odette, advanced outage, as well as extraordinary trading gains, AEV’s net income would have been lower by four percent compared to the same period in 2021.
Banking arm Union Bank of the Philippines chipped in P1.3 billion, down 44 percent from its contribution the previous year.
Earnings from the food business declined by 31 percent to P502 million. The agribusiness segment, which consists of the regional animal nutritional businesses, also reported lower income to P211 million from P334 million a year ago due to the foreign exchange losses from the devaluation of the Sri Lankan rupee.
The infrastructure group under Republic Cement & Building Materials incurred a net loss of P18 million compared to a net income of P874 million due to lower market demand aid higher prices of steel and other construction materials.
On the other hand, the real estate business under Aboitiz Land grew its net income by 48 percent to P390 million as revenues jumped 86 percent to P1.3 billion.
