Income attributable to the parent company dropped even more sharply, by 66 percent to ₱279.55 million.
The drop came even after PHINMA restated its 2023 earnings downward, highlighting profit pressures.
Earnings restated
PHINMA disclosed that it had initiated a self-review of its 2023 results through subsidiary Union Galvasteel Corp., which led to the one-time restatement of its earnings lower.
This reduced prior-year net income by ₱128.92 million and retained earnings by ₱893.48 million.
The company said this was the result of the “inconsistent application of certain accounting policies.”
Stricter controls with new unit COO
“Moving forward, UGC is reinforcing its internal controls,” PHINMA said.
“The company has also strengthened its finance team and executive leadership, mainly with the appointment of its new chief operating officer Gil Amilbangsa. Mr. Amilbangsa, a University of the Philippines industrial engineering alumnus, brings three decades of leadership experience in steel manufacturing and operations in the Philippines and abroad,” it added.
Lower construction earnings, education was flat
UGC is part of PHINMA’s construction materials group, which posted ₱14.3 billion in 2024 revenues but only ₱80.64 million in net income, down 81 percent from ₱430.95 million in 2023.
PHINMA Education remained a strong revenue contributor, with a 17 percent increase to ₱6.39 billion and enrollment reaching 163,854 students. However, net income held flat at ₱1.19 billion, suggesting higher expenses tied to expansion in the Philippines and Indonesia.
Property
PHINMA Properties reported a net loss of ₱98.28 million amid weaker sales, timing issues in revenue recognition, and the impact of new accounting rules. Hotel operations provided some relief, delivering ₱65.58 million in net income on the back of stronger bookings and the launch of a TRYP by Wyndham project in Samal Island.
Stronger capital base
PHINMA raised ₱1 billion from a stock rights offering and received a ₱2.52-billion investment from global private equity firm KKR into PHINMA Education. A ₱1.45-billion equity gain from a contingent liability reversal helped push book value per share up 19 percent to ₱27.76.
Despite the challenges, PHINMA ended 2024 with ₱3.1 billion in cash, ₱53.86 billion in assets, and ₱15.82 billion in stockholders’ equity, supported by new capital and a diversified portfolio.
