DMCI sees ‘muted’ growth for 2023

Consunji-led conglomerate DMCI Holdings Inc. is expecting a “muted” financial performance this year amid local and global challenges.

During the company’s annual stockholders’ meeting on Wednesday, DMCI Holdings chairman and president Isidro Consunji said: "[O]ur company’s growth in 2023 will likely be muted, but I remain optimistic about our ability to adapt and persevere.”

Consunji said the company is expecting  “a blend of challenges: due to moderate global economic recovery, persisting geopolitical tensions, and elevated domestic inflation."

“Price volatility, cost inflation, high interest rates, and the lingering impacts of the pandemic should affect some of our businesses,” he said.

However, Consunji said that DMCI Holdings’ “diverse portfolio, sound financial position, and commitment to operational excellence give us a strong foundation to navigate the volatile business environment and continue delivering value.”

As of end-March 2023, the company saw a 32% drop in its net income at P11.3 billion as revenues fell by 25% from P43.8 billion to P33 billion on lower commodity shipments, easing coal prices, reduced construction accomplishments, fewer real estate accounts that qualified for revenue recognition and higher real estate sales cancellations.

Nonetheless, Consunji said the company is seeing “bright spots” in its power and water businesses, “which should benefit from recovering consumption and better prices.”

“Our diverse portfolio, sound financial position, and commitment to operational excellence give us a strong foundation to navigate the volatile business environment and continue delivering value,” he said.—AOL, GMA Integrated News