The 30 stocks that make up the benchmark PSEi registered a 17 percent increase in earnings during the second quarter of 2015 from a year earlier, compared with 6 percent in January to March.
This brought the earnings of listed companies up by 11 percent in the first semester of the year from a year earlier, mainly fueled by the performance of holding firms, First Metro Investments Corp. (FMIC) said in its August issue of “The Bellwether,” released on Monday.
The aggregate earnings of the 30 PSEi companies reached P221.866 billion from P199.341 billion.
“Should the momentum in the first half of 2015 continue, the PSEi earnings are looking good versus consensus earnings per share estimate of 6.4 percent for full-year 2015,” FMIC said.
The combined earnings of 75 listed firms that have submitted financial disclosures also rose by 11 percent to P292.02 billion from P264.024 billion, as reflected by the 12 percent increase in the second quarter and 9 percent in the January to March.
Holding firms led the pack, registering an aggregate earnings growth of 18 percent from a year earlier and buoyed by the results of LT Group Inc. (up 65 percent) and GT Capital Holdings Inc. (up 36 percent).
Semirara Mining and Power Corp. was the biggest gainer in January to June. The Consunji-led Semirara registered a 78 percent increase in earnings.
The LT Group reflected the performance of banking unit Philippine National Bank, while Semirara benefitted from a record-high power generation of 2,165 Gigawatt hours, up 143 percent year-on-year to offset an 8-percent drop in coal production at 4.46 million metric tons due to equipment deployment.
The banking sector posted a 15-percent growth in the first half, led by Metropolitan Bank and Trust Company’s 30-percent rise in core earnings.
The property sector followed suit with a 14-percent gain in aggregate earnings, while consumer-related firms grew by 9 percent on missed estimates of Universal Robina Corp. and Jollibee Foods Corp. The telecommunications sector rose by 4 percent as Globe Telecoms Inc. was the only company that buoyed the sector.
The property sector was on track with consensus estimates, while the telcos pulled a surprise on Globe’s 27 percent improvement in the first semester.
In terms of share price, FMIC said analysts are having a hard time in projecting a clear direction after prices in the first quarter mainly rose despite earning that proved lower-than-estimates.
“First half statistics hardly provided a clue as to share price direction. Some made good money but suffered declines while some underperformers gained,” FMIC said.
“It could mean investors are picking up beaten up or oversold stocks on recovery hopes and at the same time taking early profits on the good earners,” it added.