Concepcion Industrial profits down 50% in 2020

Profits of industrial solutions provider Concepcion Industrial Corporation (CIC) were halved in 2020, largely impacted by the lockdowns imposed during the year amid the COVID-19 pandemic.

In a regulatory filing, CIC said its full-year net sales fell 29% to P10.8 billion, while its profit after tax and minority interests (PATAMI) was slashed 50% to P471 million.

"The 2020 result was largely affected by effects of COVID on the market particularly during the first half 2020 lockdowns. Both consumer as well as commercial markets slowed down during the early parts of 2020," CIC said in aregulatory filing.

The Philippines first implemented the enhanced community quarantine (ECQ) in March 2020, which has been gradually eased to the general community quarantine (GCQ) currently in place in Metro Manila, set to last until the end of February.

At present CIC is involved in supplying air conditioners, aid conditioning solutions, and refrigerators, and exploring potential expansion into other consumer appliance products.

It also offers aftermarket services across multiple international and local brands such as Carrier, Condura, Kelvinator, and Toshiba.

CIC counts as subsidiaries Concepcion-Carrier Air Conditioning Company, Concepcion Durables Inc., Concepcion Otis Philippines Inc., Concepcion Business Services Inc., CORTEX Technologies Corporation, Alstra Incorporated, and Teko Solutions Asia Inc. as of end-2019.

"Our focus throughout 2020 was to ensure our readiness as an organization even as we put temporary measures to temper the impact of very weak demand," CIC chairman and chief executive officer Raul Joseph Concepcion said.

"We continue to make investments in re-energizing our brands, the right technology platforms, and innovation as we open the doors to better days ahead in 2021," he added.

Shares in the company closed Wednesday at P21.55 apiece, up by P1.05 or 5.12% from P20.50 apiece on Tuesday. — BM, GMA News