San Miguel's income tops P17 billion in first quarter

Diversified conglomerate San Miguel Corporation (SMC) reported a net income of P17.7 billion in the first quarter, up from P13.9 billion in the same period last year on the back of strong performances among most of its units, according to a report by CNN Philippines.

Revenues reached P346.7 billion, up by 9% from the same period in 2022, while operational income was at P35.1 billion.

In a statement on Monday, SMC said most of its businesses posted widespread growth, supported by increased volumes from its fuel, brewery, and infrastructure units.

The consolidated revenues of San Miguel Brewery, Inc. increased by 29% with operating income and net income at %u20B18.4 billion and %u20B16.8 billion, respectively. Its consolidated volumes rose 26% from the previous year with price adjustments assisted in partly recouping rising input costs.

San Miguel Food and Beverage, Inc. grew by 12% with a registered net income of P9.9 billion.

Ginebra San Miguel, Inc. posted a 3% gain in revenues with a net income of P2.5 billion for the first quarter, 81% higher than in 2022. Its volumes declined by 5% from the previous year, owing to the effect of a temporary volume slowdown due to a price increase on Feb. 1, according to the SMC.

San Miguel Foods gained 3% with a net income of P740 million, while its firms registered a sluggish to negative volume growth due to higher inflation, aggravated by limited poultry supply.

The first quarter off-take volumes for San Miguel Global Power Holdings Corporation were 33% less than the same period the previous year, mostly as a result of the Ilijan power plant's lack of a natural gas supply. Its operating income grew 12% to P7.6 billion, while its net income spiked 177% to P5.3 billion due to net foreign exchange gains recognized this year.

Oil company Petron Corporation maintained its recovery pace and produced strong results with consolidated revenues climbing by 10% from 2022. Operating income ended at P8.4 billion, at par with the previous year, while net income amounted to P3.4 billion, 6% lower than last year.

SMC Infrastructure also maintained its growth momentum with its combined daily traffic volumes increasing by 23%, driven mostly by the resumption of on-site work, in-person classes, and tourism-related travels. Its consolidated revenues soared 31% over last year with operating income at P4.5 billion.

SMC’s cement business, under San Miguel Equity Investments, Inc., also grew following its acquisition of Eagle Cement Corporation in December. Its consolidated revenues climbed by 221% than the previous year with operating Income amounting to P1.3 billion.