Ayala Corporation saw its profits dip by 51% to P17.1 billion in 2020 from the P35.3 billion it earned in 2019, as all of its businesses were heavily impacted by the coronavirus pandemic.

The conglomerate, however, noted recovery in the 4th quarter, with core net income growing 46% to P6.8 billion, as quarantine and mobility restrictions eased during the period.

“Our sequential growth in the 4th quarter reflects a recovery in consumer confidence that has started to show in the latter part of 2020. We expect this trajectory to continue and lead to a full economic revival by 2022 as mobility further improves and as the country executes on the vaccination rollout as planned,” Ayala president and chief operating officer Fernando Zobel de Ayala said in a statement on Thursday, March 11.

Ayala hiked its capital expenditures for 2021, allocating P196 billion. Of this amount, P11.5 billion has been earmarked under the parent company to support emerging businesses in its portfolio.

Here’s how Ayala’s businesses performed in 2020:

Ayala Land – Due to the COVID-19 pandemic, it posted a 74% drop in net income to P8.7 billion.

Bank of the Philippine Islands – BPI’s income dipped by 26% to P21.4 billion, as it increased its loan loss provisions to P28 billion in anticipation of an increase in non-performing loans.

Globe Telecom – The Ayala-led telco saw net income dropping by 16% to P18.6 billion, driven by a moderate decline in gross service revenues, higher depreciation expenses from its network investments, and higher non-operating expenses.

AC Energy – It recorded a 75% drop in net income to P6.2 billion.

AC Industrials – It narrowed its net loss to P1.8 billion in 2020 from P2.4 billion in 2019, as Integrated Micro-Electronics and MT Group’s performance improved.

Manila Water – Its net income decreased by 18% to P4.5 billion, mainly due to a one-off recognition for additional estimates for probable losses, as well as lower contributions from its domestic subsidiaries due to the pandemic. – Rappler.com