FDC and its REIT report lower income

FILINVEST Development Corp. (FDC) on Monday said its third-quarter net income fell by nearly 12% to P1.74 billion, while its real estate investment trust (REIT) unit recorded a 46.8% profit decline to P344.92 million.

In a regulatory filing, FDC said its quarter-on-quarter results improved by 19% driven by its banking, real estate, and power businesses.

“We are positive that the strong demand coming from the heightened economic activity can sustain the trajectory despite the high inflationary environment we are all in,” FDC President and Chief Executive Officer Lourdes Josephine Gotianun-Yap said.

In the third quarter, FDC’s topline rose by 16.1% to P16.13 billion from P13.89 billion last year. Its other income totaled P1.95 billion in the third quarter, down by 12.7% from P2.24 billion a year ago.

For the January-September period, attributable net income fell by 35.8% to P3.97 billion from P6.18 billion in the previous year. Nine-month revenues reached P46.93 billion, up 12.8% from P41.59 billion in 2021.

FDC said its banking business accounted for 42% or P3 billion of its income, while its property business contributed 31% or P2.2 billion, and its power unit accounted for 23% or P1.7 billion.

In a separate report, Filinvest Land, Inc.’s REIT, posted a third-quarter topline of P822.19 million, 1.7% lower than P836 million a year ago. Filinvest REIT Corp.’s cost and expenses totaled P402.04 million, up by 8.7% from P369.91 million last year.

During the quarter, it incurred a charge amounting to P75.24 million, reversing the P27.97-million other income in 2021.

For the nine-month period, its net income declined by 38.1% to P1.05 billion from P1.7 billion a year ago. Revenues stood at P2.46 billion, a 10% decrease from P2.74 billion last year. — Justine Irish D. Tabile