Conglomerate SM Investments Corp. registered a net income of P25.5 billion in the first six months of the year, up 27 percent from P20.1 billion in the same period last year, on the strong performance of its core banking, property and retail businesses.
Consolidated revenues rose 23 percent to P238.5 billion in the first half from P193.5 billion year-on-year.
“Our financial performance was led by strong consumer spending across all categories and formats of our retail business and the return of crowds in malls. Despite rising inflation, we are encouraged to see shoppers’ robust spending in the first half. This is a bright spot in the Philippines and in the region amid global headwinds,” said SMIC president and chief executive Frederic C. DyBuncio in a disclosure to the stock exchange,
Banks accounted for 48 percent of the total net income, followed by property at 26 percent, retail at 20 percent and portfolio investments at six percent.
The conglomerate’s retail business booked a net income of P7 billion in the first half of the year, a 91-percent increase from P3.6 billion in the previous period, as easing mobility restrictions boosted sales.
SM Retail reported revenues of P163.7 billion, higher by 18 percent from P138.2 billion in the same period last year.
“This consumer-driven momentum brings more optimism moving forward as we keep innovating on our retail offerings to ensure an excellent shopping experience for the Filipino consumer,” said DyBuncio.
SM Retail operated 3,336 stores as of end June 2022, which include 69 SM Stores, 1,543 specialty retail, 62 SM Supermarket, 52 SM Hypermarket, 214 Savemore, 1,320 Alfamart and 75 WalterMart outlets.
Property unit SM Prime Holdings Inc. posted a 21-percent increase in first-half consolidated net income to P14.1 billion as revenues rose 13 percent to P46.3 billion.
Philippine mall revenues, which accounted for 44 percent of consolidated sales, grew 9 percent to P20.6 billion.
SM Prime’s residential business, led by SM Development Corp. reported a 25-percent decline in revenues to P18.2 billion partly due to canceled sales.
Banking unit BDO Unibank Inc., the biggest lender in terms of assets, registered P23.9 billion in net income in the first six months, up 12 percent, on strong results across its core businesses.