San Miguel Corp. revenues surge 34% in H1, but net income plunges 43%

SMC revenue hits ₱964.1 billion as fuel, power and food businesses drive growth, while net income falls to ₱37.7 billion.

San Miguel Corp. saw revenues surge 34.23% in the first half of the year, but the growth did not translate into higher profits as foreign exchange effects and the absence of a one-time gain pulled net income down 43.53%.

SMC’s net income fell to ₱37.7 billion from ₱66.77 billion a year earlier, while revenues climbed to ₱964.1 billion from ₱718.21 billion. Operating income also grew 17% to ₱102.3 billion, showing that its core businesses continued to generate stronger operating results despite a tougher market.

The biggest revenue gains came from fuel and oil, power and food. Petron’s revenue jumped 57% to ₱605.9 billion as sales volume rose 6% to 67.9 million barrels, although net income fell 27% to ₱3.8 billion. San Miguel Global Power posted a 27% increase in revenue to ₱101.9 billion, while operating income surged 90% to ₱42 billion.

Food and beverage revenue grew 2% to ₱205.3 billion, with stronger feeds and branded food demand offsetting softer consumer spending and export disruptions. Cement revenue rose 2% as volumes increased, but intense competition and import pressures cut operating income by 9%.

The results show businesses still expanding sales across key parts of the economy, even as foreign exchange costs, competition, imports and cautious consumer spending put pressure on how much of that growth reaches the bottom line.

READ: