GT Capital Full-Year 2018 Core Net Income Reaches Php13.
7 Billion
(March 27, 2019. Makati City, Philippines.) GT Capital Holdings, Inc. (GT Capital / stock
symbol: GTCAP) disclosed today that its core net income reached Php13.7 billion for full-year
2018, compared to Php15.0 billion in the previous year. The conglomerate’s consolidated net
income amounted to Php13.4 billion from Php14.2 billion in 2017. GT Capital achieved
consolidated revenues of Php215.8 billion in 2018, from Php239.8 billion in 2017. Higher
equity in net income of associates Metropolitan Bank & Trust Company (Metrobank),
Metro Pacific Investments Corporation (Metro Pacific), AXA Philippines, Toyota Financial
Services Philippines (TFS), and Sumisho Motor Finance Corporation (Sumisho), as well as
from its property development subsidiaries contributed to GT Capital’s financial
performance.
“GT Capital weathered strong headwinds in 2018 as soft vehicle unit sales were cushioned by
noteworthy results in our financial services, property, and insurance businesses. Tapering
inflation, declining interest rates, persistent growth in overseas Filipino remittances, and
election-related spending should reboot consumer confidence. Thus, we are optimistic for
the rest of 2019,” GT Capital President Carmelo Maria Luza Bautista said.
Metrobank posted a robust 21% net income growth in 2018, expanding to Php22.0 billion
from the Php18.2 billion registered in 2017. Its strong performance was driven by the healthy
growth in loans complemented by margin expansion, higher service charges, fees and
commissions, and manageable expense growth.
The Bank’s loan portfolio expanded by 10% year-on-year to Php1.4 trillion while total
deposits increased by 2% to Php1.6 trillion at the end of 2018. Net interest margin remained
the highest among peer banks, expanding to 3.82%. Meanwhile, total non-interest income
grew to Php23.8 billion. Asset quality metrics remained healthy and better than the industry
average. As of December 2018, Metrobank’s consolidated assets stood at Php2.2 trillion and
equity at Php283.0 billion.
GT Capital’s property development subsidiaries, Federal Land, Inc. (FEDERAL LAND) and
Property Company of Friends, Inc. (PRO-FRIENDS), achieved a combined Php23.8 billion
in consolidated revenues in 2018, a noteworthy 30% increase from the Php18.2 billion
booked in 2017. Combined real estate sales for the period also grew by a significant 30% in
2018 to Php20.1 billion from Php15.4 billion last year. The two companies reported an
aggregate net income of Php2.4 billion in 2018, up 13% from Php2.1 billion in the previous
year.
AXA Philippines’ consolidated net income rose by 25% to Php3.1 billion in 2018 from
Php2.5 billion in the previous year. Consolidated life and non-life gross premiums for the
year reached Php35.4 billion in 2018 from Php32.0 billion in the previous year for a 10%
growth. AXA Philippines’ life insurance sales in annualized premium equivalent rose 13% to
Php7.1 billion from Php6.3 billion, driven by growth in regular premium of 17%.
Metro Pacific reported a 7% rise in consolidated core net income to Php15.1 billion for the
year ended December 31, 2018 from Php14.1 billion in 2017. Core net income was lifted
mainly by an increased investment in the power sector following further investment in
Beacon Electric Asset Holdings Inc. in 2017, continuing traffic growth on all domestic roads,
and steady volume growth across the portfolio coupled with inflation-linked tariff increases
at Maynilad Water Services Inc.
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Toyota Motor Philippines (TMP) reported consolidated revenues of Php159.2 billion in
2018, from Php185.3 billion in 2017. For the year, the consolidated net income of the
country's leading automotive company reached Php8.0 billion, compared to Php13.2 billion
in the previous year. Toyota attained retail vehicle sales of 153,004 units for 2018, compared
to 183,908 units in 2017, in line with the total industry's decline in sales. The automotive
sector's unit sales declined to 400,298 from 473,376 in the previous year. Also during the
year, TMP launched three new models, namely the introduction of the compact SUV Rush in
May, the all-new Vios, the consistent best-selling passenger car in the country, in July, and
Toyota's premier executive car, the Camry, in December. Despite the industry's difficulties,
TMP remains the dominant player in the Philippine auto sector with a 38.2% overall market
share. Furthermore, Toyota attained its 17th Consecutive Triple Crown Award for being the
Philippines' number one automotive brand in terms of passenger car, commercial vehicle,
and overall sales.
– END –
GT Capital is a listed major Philippine conglomerate with interests in market-leading businesses across banking,
automotive assembly, importation, dealership, and financing, property development, life and non-life insurance,
and infrastructure. Its component companies comprise of Metropolitan Bank & Trust Company (Metrobank),
Toyota Motor Philippines Corporation (TMP), Toyota Manila Bay Corporation (TMBC), Toyota Financial Services
Philippines Corporation (TFSPH), Sumisho Motor Finance Corporation (Sumisho), GT Capital Auto Dealership
Holdings, Inc. (GTCAD), Federal Land, Inc. (FEDERAL LAND), Property Company of Friends, Inc. (PRO-FRIENDS),
Philippine AXA Life Insurance Corporation (AXA Philippines), and Metro Pacific Investments Corporation (Metro
Pacific).
