DMCI 44% INCOME DROP

DMCI Holdings, Inc. saw a 44-percent drop in consolidated net income last year, ending P5.9 billion from its P10.5 billion earnings the previous year.

The decline was largely attributable to the strict quarantine restrictions and economic impacts of the COVID-19 pandemic, the company said in its disclosure with the PSE when excluding non-recurring losses of P1.9 billion from its Zambales mining assets in 2019 and P708 million from sales cancellations for a real estate project in 2020, core net income fell 47 percent year-on-year from P12.4 billion to P6.6 billion.

However, in the fourth quarter alone, DMCI’s consolidated earnings improved 59 percent from P1.2 billion to P1.9 billion owing to the absence of a one-time goodwill impairment loss.

Excluding non-recurring items, core net income in the last quarter stood at P2.1 billion, down 34 percent year-on-year from P3.1 billion.

“The community quarantines hit our construction productivity while weak market conditions dragged the sales performance of most of our businesses,” detailed DMCI Holdings chairman and president Isidro A. Consunji.

“DMCI Mining was able to beat the downtrend because of strong nickel demand from China amid the Indonesian nickel ore export ban. DMCI Power posted higher sales volume but its revenues fell due to the high base effect of the retroactive tariff adjustment for its Aborlan plant in 2019,” he added.

WEEKLY FEATURE : BONNER DYTOC SHOWS THE WAY IN STOCK PLAY