The combined first-quarter profit of listed firms in the country grew by 23 percent to P163.4 billion compared to the P132.54 billion registered in the same period last year.
A study made by the Philippine Stock Exchange (PSE) revealed that listed firms continue to grow their profit in 2013, citing the 23.3-percent improvement in the total income earned by these firms.
The growth, according to the PSE, was led by the retail sector, banks, construction, infrastructure and allied services, and media.
Total revenues of listed companies for the first three months of 2013 also grew by 15.4 percent to P1.21 trillion from P1.05 trillion of the previous year.
“The phenomenal income performance of listed companies has been the main driver of the stock market’s growth this year, while also providing a firm basis for investor optimism on the prospects for listed companies moving forward,” said Hans Sicat, PSE president and chief executive officer.
“More importantly, we believe that expansion of this magnitude should have contributed in a big way to the impressive growth rate of the economy so far this year,” he added.
The combined net incomes of companies in the retail business grew by 98.1 percent behind robust sales revenues and additional income provided by new store openings and acquisitions.
Meanwhile, profits of banks rose by 97.3 percent during the first quarter, as gains from securities trading and interest income surged.
Listed firms in the construction, infrastructure and allied services sector posted combined growth profits of 70 percent, as companies took on more infrastructure projects.
PSE also mentioned that the recently concluded national elections boosted the revenues of media companies by 56.6 percent.
Holding Firms, on the other hand, registered a 37.8-percent increase in combined profit, while the property sector registered a 24.9-percent improvement in total income for the first quarter.
The industrial, services and mining and oil sectors, however, reported declines in their net incomes for the first quarter.
Combined profit of the industrial sector decreased by 10.4 percent, while the service sector’s net earnings went down 11 percent.
The mining and oil sector’s aggregate income continued to slide from the previous year, this time dropping by 32.6 percent with companies in the sector adversely affected by declining global nickel prices as well as the suspension of certain mining operations.