Despite lower revenues, San Miguel Corporation (SMC) posted first-quarter earnings of PHP43.4 billion, rising sharply from PHP8.9 billion a year earlier, supported by one-time gains from the partial sale of power assets and foreign exchange gains.
Core net income, excluding these non-recurring items, grew 31 percent to PHP19.0 billion, driven by disciplined cost management and solid performance in most of its core businesses.
Revenues declined 8 percent to PHP360.9 billion, mainly due to weaker crude prices affecting the Fuel and Oil segment, and lower contributions from the Power business following the deconsolidation of the Ilijan Power Plant. Stronger sales results from the Food, Hard Liquor, and Infrastructure units helped offset the decline.
Operating income rose 13 percent to PHP45.6 billion, supported by margin expansion across the Power, Food & Beverage, and Infrastructure segments. Consolidated EBITDA increased 17 percent year-on-year to PHP64.2 billion.
“We had a good start to the year. Despite some challenges, our businesses remained resilient and continued to perform well. We will keep moving forward, grow responsibly, and make sure more Filipinos benefit from the progress we are making,” said SMC Chairman and CEO Ramon S. Ang.
FOOD AND BEVERAGE
San Miguel Food and Beverage, Inc. (SMFB) reported consolidated revenues of PHP98.9 billion, up 4 percent year-on-year. Gross profit grew 11 percent to PHP28.6 billion, while operating income rose 16 to PHP15.2 billion. Net income increased 16 percent to PHP11.6 billion, with EBITDA reaching PHP19.6 billion.
San Miguel Foods posted PHP46.3 billion in revenues, 8 percent up on strong poultry sales and steady demand for processed meats and dairy with net income growing by 83 percent to PHP3.0 billion.
San Miguel Brewery reported PHP36.3 billion in sales, with net income inching up 1 percent to PHP6.6 billion. Ginebra San Miguel generated PHP16.3 billion in revenues, also up 8 percent, while net income grew 11 percent to PHP2.1 billion.
POWER
San Miguel Global Power posted PHP42.5 billion in revenues, down 4 percent year-on-year due to the deconsolidation of the Ilijan Power Plant. The decline was partly offset by strong contributions from its other power facilities and battery energy storage systems (BESS).
Operating income rose 21 percent to ₱10.7 billion. Reported net income reached PHP26.4 billion, including a PHP21.9 billion gain from the asset sale. Excluding the gain, net income was still up 188 percent to PHP4.5 billion.
FUEL AND OIL
Petron Corporation grew its net income by 2 percent to PHP4.0 billion, backed by strong domestic sales, steady operations, and improved margins. Operating income stood at PHP9.5 billion, while EBITDA remained stable at PHP13.4 billion.
Revenues declined to PHP194.4 billion from PHP227.6 billion a year earlier, mainly due to lower crude prices and softer export sales. Despite this, domestic performance remained strong, with Philippine retail sales rising 14 percent and commercial sales up 2 percent, driven by higher demand and stronger customer engagement.
INFRASTRUCTURE
SMC Infrastructure reported a 7 percent rise in first-quarter revenues, driven by the continued growth of its toll road operations. Operating income increased 10 percent to PHP5.3 billion, while EBITDA rose 6 percent, with margins steady at 78 percent.
CEMENT
SMC’s Cement business—including Eagle Cement, Northern Cement, and Southern Concrete Industries—reported consolidated revenues of PHP8.9 billion, down 4 percent year-on-year due to lower average selling prices amid heightened competition from imports and soft demand. Despite these challenges, the group posted a 1 percent increase in sales volume. Operating income stood at PHP1.6 billion, while EBITDA declined 5 percent to PHP2.5 billion.
