The results painted a mixed picture of the slowing Philippine economy, with Toyota's earnings falling 35 percent, Metrobank's profit slipping 3 percent and infrastructure associate Metro Pacific Investments Corp. (MPIC) posting a 5-percent increase in core earnings.
The slowdown came as Philippine economic growth weakened to just 2.1 percent in the third quarter, its slowest pace since early 2021.
Management's view
GT Capital president Carmelo Maria Luza Bautista said the group was managing costs and adjusting to volatile market conditions while maintaining a cautious outlook.
“While the macroeconomic environment remained challenging in the third quarter, our operating companies stayed resilient and in line with expectations – sustaining their respective businesses, managing costs, and responding to the volatile market conditions,” Bautista said in a statement on Thursday.
Toyota bears the brunt
Toyota Motor Philippines' profit plunged to P11 billion from P16.8 billion a year earlier as revenues fell 12 percent to P176.3 billion and vehicle sales dropped 8 percent to 151,457 units, although its market share increased to 49.3 percent from 45.6 percent.
The automaker still found growth in electrified vehicles, whose sales climbed 37 percent, while demand for its locally manufactured Tamaraw rose 18 percent.
Banking and infrastructure hold up
Metrobank earned P36.3 billion, down from P37.3 billion a year earlier, despite a 13-percent increase in loans and nearly 12-percent growth in net interest income to P102.7 billion.
MPIC, whose businesses span electricity, water, toll roads and hospitals, increased core net income to P24.8 billion from P23.6 billion, providing a relatively stable source of earnings exposure as consumer-facing businesses faced softer demand.
AXA Philippines, meanwhile, reported a roughly 5-percent decline in profit to P2 billion despite 20-percent growth in insurance premiums, while property arm Federal Land continued expanding its residential and commercial projects without disclosing comparable earnings.
—Edited by Miguel R. Camus
