Megawide posts P283.5-M income in 2023 as construction revenues grew

Megawide Construction Corp. of tycoon Edgar Saavedra saw its full-year earnings in 2023 reach P283.5 million, a reversal of the P1.87-billion net loss it registered the previous year as its construction business grew.

In a statement on Monday, Megawide said revenues went up by 26 percent to P18.6 billion.

Of this, 97 percent, or P18.1 billion, came from its construction business. Its land port and real estate segments contributed P348 million and P149 million, respectively.

“Our [engineering, procurement and construction] business sustained a robust performance as progress on existing projects went as planned,” Megawide chair and CEO Saavedra said.

The construction segment signed P43.1 billion worth of projects last year, including Hotel101 Libis and the Lumbangan solar power plant.

According to Megawide, its land port business improved due to higher foot traffic, averaging 117,000 daily by year-end.

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“As our operations steadily deliver the results, we also need to manage the balance sheet and reduce our interest-bearing liabilities to ease the impact of interest expenses on our profitability,” Saavedra said.

Megawide’s net loss last year stemmed from the exclusion of a one-time gain from the sale of its shares in GMR-Megawide Cebu Airport Corp., the operator of the Mactan-Cebu International Airport, to Aboitiz InfraCapital.

Including the P6.6-billion gain, Megawide’s net income attributable to shareholders of the parent company amounted to P3.58 billion last year.