GOTIANUN-LED conglomerate Filinvest Development Corp. (FDC) saw its net income rise 21 percent to P8.5 billion last year on the back of higher revenues spurred mostly by its banking and property businesses.
In a statement on Friday, FDC said its consolidated revenues increased 19 percent to P58.6 billion in 2016 from P49.3 billion the previous year.
Revenue growth came mainly from its banking subsidiary East West Bank, which recorded a 70 percent jump in net income to P3.4 billion, and property unit Filinvest Land Inc. (FLI), which posted 5 percent growth in net income to P24.2 billion.
EastWest Bank contributed 41 percent to total revenues, followed by FLI (39 percent), power vehicle FDC Utilities Inc. (13 percent), sugar miller Pacific Sugar Holdings Corp. (4 percent) and FDC Hotels (3 percent).
The bank saw its loan portfolio improve 29 percent to P202 billion, driven by a 51 percent growth in consumer loans, while deposits grew 30 percent led by low-cost deposits.
“2016 shows the early results of our expansion program that started in 2012,” said Jonathan T. Gotianun, FDC chairman, citing that EastWest Bank expanded its network to 445 branches as of end-2016.
The property group generated P24.2 billion in revenues, which is 8 percent higher than in 2015.
The group is concentrated in developments in Alabang, Cebu and Clark, with 92 hectares of land in Filinvest City in Alabang, 54 hectares of commercial land bank in Cebu, and 200 hectares in Clark Mimosa.
In 2016, FLI launched residential projects in Metro Manila, Cavite, Rizal, Bulacan and other key locations.
Meanwhile, FDC Utilities completed its 3 x 135 megawatts clean coal power plant in Villanueva, Misamis Oriental on schedule before the end of 2016.
“We were excited to start supplying much-needed electricity to the Mindanao grid. This will not be immediately reflected in the revenues, however, since commercial operations started towards the end of the year,” FDC Chief Executive Officer and President Josephine Gotianun-Yap said.
FDC is owned and operated by the Gotianun family, which has interests in power generation (FDC Utilities), property (Filinvest Land Inc. and Filinvest Alabang), banking (EastWest Banking Corp.), mall, theater and resort hotel (Filarchipelago Hospitality Inc. and Filinvest Hotels Corp.) and sugar farming and milling (Pacific Sugar Holdings Corp.).