Lopez Holdings Corp. saw its full-year 2013 net income fall by more than half, which the listed company blamed on the absence of one-off gains.
The holding firm of the Lopez group on Wednesday reported P1.9 billion in net income attributable to equity holders in 2013, showing a 55-percent drop from the P4.3 billion the company earned in 2012.
This was primarily due to the absence of one-off gains, from which in January of the comparative year 2012 came in the form of proceeds from the sale of a 2.66 stake or about 30 million shares in Manila Electric Co. held by the group’s subsidiary First Philippine Holdings Corp., as well as the listing of Rockwell Land Corp., a subsidiary of FPH, in May 2012.
Consolidated revenues of Lopez Holdings fell by 6 percent year-on-year to P94.6 billion from P100.7 billion, following declines in the sale of electricity and in the sale of merchandise by FPH, being the most significant contributor in the whole group.
Meanwhile, ABS-CBN, the media arm of the group, reported strong revenues from both regular and election-advocacy advertising in 2013, which was a mid-term election year.
ABS-CBN reported a 25 percent increase in net income for 2013 to P2 billion from P1.6 billion in 2012, while consolidated net revenues increased by 15 percent to P33.4 billion from P28.9 billion.
“We expect stable operations from both FPH and ABS-CBN this year, before their investments in new ventures gain traction in 2015 to 2016,” said Lopez Holdings president, chief operating officer and chief finance officer Salvador Tirona.
In May 2013, a fire damaged the San Lorenzo Power Plant’s main transformer, halving its production until the transformer was replaced before the end of 2013.