SMC 9-month revenues jump to P1.5 trillion as core earnings hold steady

San Miguel Corp. (SMC) generated P1.5 trillion in revenues in the first nine months of 2026, up 34 percent, as its massive power and infrastructure businesses helped cushion the impact of rising costs and weaker consumer spending across the Philippine economy.

The tycoon Ramon S. Ang-led conglomerate, whose businesses span food, beer, fuel, electricity and major infrastructure projects, kept its underlying earnings steady despite a 40-percent decline in reported net income to P47.3 billion.

The profit drop largely reflected unrealized foreign exchange losses and a one-time gain recorded last year. Still, operating income rose 3 percent to P141.8 billion, while earnings before interest, taxes, depreciation and amortization (EBITDA) climbed 7 percent to P208.5 billion.

Management’s view

“The operating environment remained challenging across many sectors during the period. While market conditions affected our businesses to varying degrees, our diversified portfolio helped provide stability across the group,” Ang, the chair and CEO of SMC, said in a statement on Friday. 

“We remain focused on disciplined execution and adapting to changing market conditions,” he added. 

Ramon S. Ang 

San Miguel Corp. chair, CEO 

Power and infrastructure hold the line

San Miguel's power business provided the strongest support, with operating income surging 53 percent to P53.4 billion as newly commissioned generating facilities and additional power supply contracts boosted earnings.

Power revenues climbed 25 percent to P149.1 billion, while net income held at P42.6 billion despite the comparison with last year's results, which included a P21.9-billion gain from the Chromite transaction.

Infrastructure also performed strongly, with net income jumping 35 percent to P14.5 billion, helped by higher contributions from New NAIA Infra Corp. and Manila North Harbour alongside foreign exchange gains.

That improvement came despite average daily traffic on San Miguel's toll roads slipping 1 percent to 1.06 million vehicles as elevated fuel prices discouraged some motorists.

Consumer slowdown hits other businesses

The picture was less encouraging across San Miguel's consumer, fuel and cement operations, where higher costs and softer demand squeezed earnings despite continued revenue growth in several businesses.

• Food and beverage revenues rose 2 percent to P309.6 billion, but net income fell 9 percent to P30.6 billion as weaker beer demand and higher expenses weighed on profitability.
• Petron revenues surged 56 percent to P928.2 billion, but net income plunged 44 percent to P5.4 billion as higher crude prices, freight costs and weaker refining margins eroded profits.
• Cement revenues increased 3 percent to P26.4 billion, while net income declined 22 percent to P2 billion amid rising raw material and electricity costs.

The pressure was particularly evident at San Miguel Brewery, where net income fell 14 percent to P16.1 billion as consumers spent less, while Ginebra San Miguel managed a 3-percent profit increase to P6.5 billion despite softer sales volumes.

—Edited by Miguel R. Camus