Filinvest profit rise on banking, real estate operations
MANILA, Philippines - Gotianun-led Filinvest Development Corp. (FDC) recorded a 10.3% jump in its 2012 net income, owing to the strong performance of its banking and real estate businesses.
In a disclosure to the Philippine Stock Exchange, FDC said its net income rose to P4.06 billion in 2012 from P3.68 billion in 2011, after revenues rose 22.8% to P29.6 billion from P24.1 billion.
Most of the revenues came from the company's real estate group. Real estate revenues grew 4% to P15 billion in 2012 from P12.1 billion in 2011. This was on the back of strong condominium and residential sales, and rental income from malls and office buildings.
EastWest Banking Corp., FDC's banking unit, posted a 25% increase in revenues to P11.4 billion in 2012 from P9.11 billion in 2011. EastWest went public in 2012, offering 282.22 million common shares for P18.50 apiece. This cut FDC's stake in the bank to 75% from 100%.
FDC earlier announced plans to raise $300 million through an overseas bond offer to fund its capital spending in 2013. The offer is slated for the second quarter.
FDC also said it would invest P25 billion for the development of new power plants. Its new plants are expected to have a combined capacity of 200 megawatts.
The conglomerate said that it is looking to acquire power assets for privatization. It initially planned to open liquified natural gas power plants then switched to using clean coal and renewable energy. The company plans to put up power plants in Camarines Sur, Cebu, Negros, Davao and other parts of Mindanao. - with a report from Christian Bautista/Rappler.com