LOPEZ Holdings Corp. reported lower earnings in 2017 due to the absence of one-off gains from its subsidiaries that had boosted profits in the previous year.
In a regulatory filing on Tuesday, Lopez Holdings said net income after tax dropped by 29.9 percent to P14.5 billion last year from P20.7 billion in 2016.
Net income attributable to equity holders of the parent amounted to P4.225 billion in 2017, down 36 percent from the P6.557 billion reported in the previous year.
“One-off gains reported in 2016 and absent in 2017 accounted for most of the decline,” Lopez Holdings said.
Among its subsidiaries, media giant ABS-CBN Corp. reported net income of P3.16 billion last year, 10 percent lower than the P3.52 billion registered a year earlier, in the absence of election-related advertisement sales that occurred in 2016.
ABS-CBN’s revenues reached P40.7 billion, down 2 percent from P41.6 billion in the previous year, as consumer sales grew by 9 percent. Ad sales accounted for 52 percent of its revenues in 2017 compared with 57 percent in 2016.
Meanwhile, energy unit First Philippine Holdings (FPH) reported that net income attributable to equity holders of the parent decreased by 41 percent to P5.8 billion from P9.9 billion in 2016.
Its recurring net income stood at P6.8 billion, which was 15 percent higher than the P5.9 billion registered in 2016.
FPH reported one-off gains in 2016 pertaining to the arbitration settlement received by unit First Philec Electric Corp. and liquidated damages collected by First Gen Corp. for its San Gabriel power plant.
Lopez Holdings said consolidated revenues rose 14 percent to P104.9 billion compared with P91.9 billion in the previous year. Electricity sales accounted for 82 percent of revenues in 2017 versus an 81 percent share in 2016.
As of end-December 2017, Lopez Holdings owned 46 percent of FPH and 56 percent of ABS-CBN.