The Market Monitor Minding the Nation's Business
By Riza Lozada
Diverse conglomerate of tycoon George Ty, GT Capital Holdings Inc. (GT Capital), posted a 32 percent growth in profit for the first nine months driven by strong sales of Toyota car brands and strong real estate earnings.
Consolidated net income rose to P8.4 billion from P6.3 billion a year ago. GT Capital’s consolidated revenue grew 10 percent to P115.1 billion for the three quarters from P104.9 billion in 2014.
GT Capital attributed the robust profit from Toyota Motor Philippines Corp. (TMP) with a net income increasing by 56 percent to P7.7 billion, and from Federal Land Inc. (Federal Land) with a net income of P1.1 billion for the period.
Banking arm Metropolitan Bank & Trust Company (Metrobank) reported a 25 percent increase in core earnings, with unaudited consolidated net income of P13.3 billion from January to September.
GT Capital investment in Global Business Power Corp (GBPC) earned net fees of P13.7 billion during the period.
Net income increased 15 percent in the three quarters to P1.9 billion, from last year’s P1.7 billion.
“GT Capital’s performance for the period validates our distinct business model of strong partnerships and synergies. We further enhanced this strategy through the recently disclosed acquisition by AXA Philippines of Charter Ping An Insurance Corporation. Through such initiatives, we remain confident in GT Capital’s continued growth momentum,” GT Capital chairman Francisco Sebastian said.
GT Capital associate life insurance company AXA Life Insurance Corp (AXA Philippines) recently signed a P2.3 billion sale and purchase agreement for the full acquisition of Charter Ping An.
“With a stronger focus on low-cost deposit generation, Metrobank’s current and savings accounts (CASA) increased by 14 percent to P652.6 billion, while consolidated deposits settled at P1.2 trillion as of September 30,” GT Capital said.
Metrobank maintained its net interest margin at 3.6 percent for the first nine months accounting for P36.3 billion in net interest income sharing over 70 percent of total operating income.
Metrobank was recently named the strongest bank in the Philippines in The Asian Banker 500 (AB 500) Strongest Bank by Balance Sheet Ranking for 2015.
Metrobank ranked number nine overall in Asia, which marks the first time that a Philippine bank has made it to the top ten list.Federal Land’s nine-month 2015 revenues grew to P8 billion from P7 billion last year.
Rental income improved 33 percent to P586.6 million, driven mostly by leases in GT Tower International and Blue Bay Walk.
Real estate sales amounted to P6 billion, expanding 12 percent from the same period last year. The property developer reported a net income of P1.1 billion for the period.
“Federal Land pursues the expansion of its presence in the Philippine property sector with continued focus on the residential segment. At the same time, we intend to enhance our recurring income through the development of office, commercial, and retail space. Federal Land recently broke ground for iMet, a built-to-suit BPO tower in Pasay City’s bay area central business district. We remain optimistic on the possibilities of high-end and middle-income development, for Federal Land and Horizon Land, whichever is best suited for our present land bank,” Federal Land chairman Alfred Ty said.