Publicly held Aboitiz Equity Ventures, Inc. (AEV) on Monday, March 7, 2022, reported a 77% year on year increase in its net income to P27.3 billion for 2021.
In a statement, Aboitiz Group president and CEO Sabin M. Aboitiz said their performance during this coronavirus disease 2019 (COVID-19) pandemic has continued to improve as indicated by steadily rising figures.
He credited their investments in digital transformation and innovation, and their strong culture of agility and resilience.
“We approach the coming year with balanced optimism as COVID begins to abate, vaccinations increase and our new strategic partnership with Jera kicks into full gear,” Aboitiz said, referring to Japanese energy company JERA Co., Inc.
JERA has acquired around 27% of the outstanding shares of Aboitiz Power Corp., the holding company for the Aboitiz Group’s investments in power generation and distribution.
In its statement, AEV said it recognized non-recurring gains of ₱527 million in 2021, primarily due to the revaluation of dollar-denominated assets, compared to the ₱477 million in non-recurring losses recorded in 2020.
Without these one-off gains, AEV’s core net income for 2021 was ₱26.8 billion, a 68% increase.
AEV also reported consolidated EBITDA of ₱67.1 billion in 2021, a 16% increase from the ₱57.7 billion recorded in 2020.
Power accounted for 57% of the total income contributions from AEV’s strategic business units in 2021, while financial services accounted for 23%. Income contributions from real estate, food and infrastructure SBUs were at 9%, 7%, and 5%, respectively.
AboitizPower’s income contribution to AEV for 2021 amounted to ₱16 billion, 66% higher than the ₱9.7 billion recorded in 2020.
In banking and financial services, Union Bank of the Philippines contributed P6.4 billion to AEV in 2021, 9% higher than the ₱5.9 billion in 2020.
AEV’s non-listed food subsidiaries contributed P2 billion in 2021, 10% lower than the ₱2.2 billion recorded in 2020. This group consists of Pilmico Foods Corp., Pilmico Animal Nutrition Corp., and Pilmico International Pte. Ltd. (which includes Gold Coin Management Holdings Pte. Ltd.).
The group’s non-listed real estate businesses, Aboitiz Land, Inc. and its subsidiaries, reported a consolidated net income of ₱2.6 billion in 2021, 658% higher than the ₱338 million recorded in 2020.
For the infrastructure group, Republic Cement & Building Materials, Inc.’s income contribution to AEV in 2021 amounted to ₱1.6 billion, 164% higher than the ₱590 million recorded in 2020.
As of Dec. 31, 2021, AEV’s consolidated assets totaled ₱733.6 billion, a 20% increase from ₱609.2 billion at the end of 2020.
Cash and cash equivalents stood at ₱147.5 billion, 124% higher than the ₱66 billion as of end-2020. Consolidated liabilities increased 5% to ₱405.8 billion, while equity attributable to equity holders of the parent increased by 34% to ₱244.7 billion. AEV’s current ratio as of Dec. 31 2021 stood at 2.3x while its net debt-to-equity ratio was 0.6x. (Marites Villamor-Ilano/Ventures Cebu)