MPIC expects 2022 results to ‘at least approach’ 2019 level

PANGILINAN-LED Metro Pacific Investments Corp. (MPIC) announced on Wednesday an attributable net income of P9.5 billion for the first half of 2022, down 9% from the same period last year when it booked gains from asset sales.

“We expect that this year will be better than last year,” MPIC Chairman Manuel V. Pangilinan said during a virtual briefing.

“We (also) hope that 2022 numbers will at least approach what we accomplished in 2019, or before the pandemic,” he added.

The holding company, which also controls power, toll roads, hospital and rail businesses, posted a core net income of P15.6 billion in 2019, up 4% from 2018.

The company’s core net income for the first half of 2022 was P7.5 billion, up 24% from P6 billion in the previous year, it said in a press statement on Wednesday.

MPIC has yet to release its complete financial report for the second quarter.

“Improved financial and operating results of the constituent companies delivered a 15% increase in contribution from operations, mainly driven by a strong recovery in toll road traffic and growth in power consumption as more industries ramped up operating capacity,” the company said.

The company said its power business brought in P5.9 billion, or 60% of the net operating income. Toll roads contributed P2.5 billion, or 26%, and water brought in P1.4 billion, or 15%.

Meanwhile, the other businesses, mostly real estate, hospitals, fuel storage, and light rail, incurred a net loss of P35 million.

“Average interest rates on borrowings have been significantly reduced and resulted in a 12% decline in net interest costs in the first half of 2022,” MPIC said.

“This was made possible by the company’s strategic rerating and refinancing of expensive debt facilities ahead of the current rising interest rate environment,” it added.

Mr. Pangilinan said the company remains steadfast in its pursuit of other potential growth areas, particularly in agriculture, tourism, and logistics.

“But we are still mindful of the crucial role that MPIC plays in Philippine infrastructure and enabling the progress that our government envisions. I am hopeful that the positive tone toward infrastructure investment set by the new administration will lead to accelerating development for our country,” he added.

Last year, MPIC recognized gains from the sale of power generation company Global Business Power Corp. and Thai toll road operator Don Muang Tollway Public Co. Ltd.

On Wednesday, MPIC shares closed 2.93% lower at P3.64 apiece.

MPIC is one of three key Philippine units of First Pacific, the others being Philex Mining Corp. and PLDT Inc.

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