Shopping mall, retail and banking conglomerate SM Investments Corporation has reported a 20-per-cent increase in net profit last year to US$875.1 million (PHP44.6 billion).
Consolidated revenues rose 12 per cent to $9.8 billion year on year.
Subsidiary SM Retail, which comprises non-food (The SM Store and specialty stores) and food stores (SM Markets) showed total revenues grew 9 per cent to $6.6 billion. The division’s net income rose 10 per cent to $245.3 million.
“We had a good year in 2019 with all our core businesses delivering strong revenue and profit growth,” said SM President Frederic C. DyBuncio. “The retail group added over 400 stores nationwide while the property group sustained its growth momentum led by residential and commercial developments. The banking group had a particularly good year as net income improved.”
SM Retail added 412 stores last year taking it to a total of 2799 outlets.
Meanwhile SM Prime Holdings achieved consolidated net income growth of 18 per cent to $747.5 million, from $631.8 the previous year. Consolidated revenues increased by 14 per cent to $2.3 billion.
The company’s malls across the country recorded a revenue increase of 8 per cent to $1.1 billion, mainly due to 7-per-cent same-mall sales growth across its more mature properties.
SM Prime has 74 malls in the Philippines and seven in China.
“We are confident about the long-term growth potential of the country and we will continue to expand,” added DyBuncio. “We are committed to maintaining a strong balance sheet that gives us the financial flexibility to fend off short term risks and to take on opportunities that may come our way.”
SM’s total asset increased 8 per cent to $21.5 billion.