Benpres Holdings posts losses after its units earn less

MANILA, Philippines - Benpres Holdings Corp. reported losses after its operating units—including ABS-CBN and Bayan Communications—posted lower earnings from July to September this year. Benpres, the Lopez holding company for its broadcast, telecommunications, power, and infrastructure businesses, said it lost P4 million during the third quarter, reversing last year’s income of P1.05 billion. Revenues for the three month period rose 18.9 percent to P6.3 billion last year while airtime revenues went up 1.7 percent to P3.77 billion. Meanwhile, sales and services surged 73 percent to P2.54 billion. From January to September, the company posted a net loss of P841 million, compared to a net income attributable to equity holders of the parent of P2.676 billion, the company said. This loss was primarily due to the 89 percent fall in equity in net earnings of investees to P251 million from P2.21 billion as core investee First Philippine Holdings Corp (FPHC) reported a net loss for the period, the company said. Approximately P1.27 billion worth of foreign exchange losses were also reported from a gain of P824 million last year. In April, the Lopez holding company earned P178 million after it sold Medical City, increasing its other income to P732 million. From January to September, ABS-CBN’s earnings attributable to equity holders of parent expanded 9 percent to P1.2 billion year on year. The increase was the result of a 61 percent surge in sale of services from rising number of ABS-CBN Global subscribers. For its part, FPHC said losses reached P264 million attributable to the parent from a net income of P3.79 billion last year. These were brought about by higher interest expenses, foreign exchange losses, and lower shares in subsidiaries’ net profits. Similarly, Bayan Telecommunications Inc. also posted losses of P2.57 billion during the first nine months owing to foreign exchange losses of P2.48 billion. Meanwhile, earnings of First Philippine Infrastructure Inc. fell by more than half to P506 million, thanks to lower revenues and foreign exchange losses. Rockwell Land Corp., the holding company’s real-estate unit, said earnings went up by nearly one-third to P477 million. Total revenues rose nine percent for the first nine months thus year owing to sales of its One Rockwell residential condominium project. Among Benpress Holding’s associate companies include ABS-CBN, a rival of GMA Network Inc., the Philippines’ leading broadcast company. GMA, which runs the country’s first and the third-ranked TV channels, owns Media Merge Corp., the company managing GMANews.TV. Shares of Benpres Holdings fell P0.02 to P1.12 apiece during Monday’s trading at the Philippine Stock Exchange (PSE). - GMANews.TV