MANILA, Philippines – Tycoon Dennis Uy’s Udenna Corporation raked in P110.7 billion in revenues in 2019, the highest ever in the company’s history, driven by profitability of Udenna Land.

However, Udenna’s net income stood at P3.4 billion last year, according to a statement on Monday, June 8. This is lower by 30% from the P4.9 billion recorded in 2018.

Industry insiders and critics have repeatedly raised concerns over Udenna’s highly leveraged growth, as well as where Uy is getting all the liquidity. But the company noted that its debt-to-equity ratio improved to 2.7 from 3.09 in 2019. (READ: Dennis Uy’s growing empire and debt)

Generally, a good debt-to-equity ratio is around 1 to 1.5, but this figure varies by industry, as some require more debt financing than others.

Total debt is long-term in nature, while cash levels grew by 31% to P13.5 billion.

Uy said he is “quite happy” with the 2019 earnings, but noted that the coronavirus pandemic has forced his growing conglomerate to adjust. (READ: Dennis Uy debuts on 2019 Forbes rich list)

“The ongoing COVID-19 situation remains serious and we have been adjusting to it. But just the same we are already looking beyond COVID-19 as we explore new ways of running our businesses, engaging our customers, as well as looking at new opportunities and forging strategic partnerships and investments,” Uy said.

Udenna sees 2020 as a challenging year across all its businesses, but has “rapidly adjusted to the situation” to keep operations on a business-as-usual mode and preserve its resources.

Udenna’s businesses have grown rapidly under the Duterte administration. Uy, who is a major campaign contributor of President Rodrigo Duterte, bagged the 3rd telecommunications player slot and is poised to get some big-ticket infrastructure projects.

Uy is also into oil, shipping, education, food, and hospitality. – Rappler.com