Filinvest eyes repeat of prepandemic performance in ’24
Gotianun-led holding firm Filinvest Development Corp. (FDC) wants to reclaim this year the record-high earnings it gained prepandemic as it doubles down on expansion plans.
FDC president and CEO Rhoda Huang told reporters recently they aimed to achieve a 20-percent annual growth in the next five years.
Hitting the company’s P11.97-billion earnings in 2019 means that it would have to grow its net income by at least 34.50 percent this year, coming from an P8.9-billion profit in 2023.
Its earnings plunged to P8.4 billion in 2020, P6 billion in 2021 and P5.65 billion in 2022 as the economic impact of COVID-19 triggered declines across its business units.
FDC, which has interests in real estate, power and utilities, banking, sugar farming and milling, and hospitality, previously said it would earmark up to P25 billion in capital outlays this year, with 60 percent, or around P15 billion, going to property expansion.
It has residential, commercial and integrated estates through Filinvest Land Inc. and Filinvest Alabang Inc. Combined, the two subsidiaries accounted for P3.7 billion of the parent company’s bottom line in 2023.
Its utilities and hospitality units, meanwhile, will get up to P3.75 billion each from the outlay.
Through FDC Utilities Inc., FDC plans to pursue more renewable energy projects, starting with a 20-megawatt (MW) solar project in Misamis Oriental province and another 20 MW in Cebu province.
The company is also expanding its Grafik hotel brand via a 200-room facility in Baguio City through Filinvest Hospitality Corp.
As for its sugar business under Pacific Sugar Holdings Corp., Huang said they were looking more at a facility upgrade rather than an expansion.
“We’re targeting improved operating performance only because [of the facilities’] age. It has been a consistent provider in terms of cash flows … despite the reduction in volumes [in 2020],” she said.
Pacific Sugar is present in Davao del Sur province and Cotabato City in Mindanao. FDC acquired 100 percent of Pacific Sugar in 2007 from AL Gotianun Inc. INQ
