Ayala Corp. income up 31% in H1, but firm warns of Delta uncertainties

Ayala Corporation, the country’s oldest conglomerate, on Thursday reported a double-digit climb in its bottom line for the first half, but warned against uncertainties brought about by the COVID-19 Delta variant.

In an emailed statement, AC said its core net income fell 15% to P6.1 billion in the second quarter from the first quarter of the year.

The company attributed the decline to the weaker results of its banking and energy units, and higher losses of its industrial segment during the quarter.

The first-half net income expanded 31% to P10.4 billion, following the low base in 2020 when the strictest quarantine restrictions were in place in the country’s metropolis.

The net income of the business units recorded growth in the six-month period — Ayala Land up 34% to P6 billion, BPI up 1% to P11.8 billion, Globe Telecom up 13% to P13 billion, AC Energy up 5% to P2.7 billion, and Manila Water up 10% to P2.7 billion.

“Our first semester results show recovery in the business environment compared to last year. However, increasing infections from the Delta variant present new challenges,” Ayala president and CEO Fernando Zobel de Ayala said.

“As a business group operating in diversified industries, we will continue to do our part in helping revitalize the economy through continued investments and supporting the country’s pandemic response and vaccination program,” he added.

Shares in the company closed Thursday down P18.00 or 2.42% at P727.00. versus Wednesday’s finish of P745.00.

The Philippines on Thursday reported 12,439 new confirmed cases of COVID-19, bringing the total to 1,700,363. This includes 87,663 active cases and 29,539 deaths. — BM, GMA News