FDC registers broad-based net income growth of 58% to P8.9B in 2023  

April 3, 2024
by Filinvest Development Corporation
FDC registers broad-based net income growth of 58% to P8.9B in 2023

April 3, 2024 – Filinvest Development Corporation (FDC) registered a net income attributable to equity  holders of the parent company of ₱8.9 billion in 2023, 58 percent higher than the ₱5.7 billion recorded  the previous year, while consolidated net income reached ₱12.1 billion, rising by 46 percent year-on year. The growth was driven by a 31 percent increase in total revenues and other income from ₱71.1  billion in 2022 to ₱92.8 billion in 2023 following a double-digit improvement across all business  segments.   

The increase in revenues and other income by business segment were as follows: Banking, 35 percent; Real Estate, 20 percent; Hospitality, 77 percent; Power, 35 percent; and Sugar, 16 percent.  The level of total revenues and other income of FDC in 2023 has surpassed by 8 percent the amount  generated before the pandemic of ₱84.6 billion in 2019.  

“This past operating year was marked by robust growth in all our business lines. The key to our  success was a renewed focus on the fundamentals of our business and staying true to our key  strategic imperatives and reliance on our core strengths as an organization,” said FDC President and  CEO, Ms. Rhoda A. Huang.  

While growth was broad-based, the banking, real estate and power subsidiaries bolstered FDC’s 2023  results. Banking and financial services delivered a net income contribution to the group of ₱4.6 billion,  equivalent to 39 percent of FDC’s bottom line. The property business, composed of the real estate  and hospitality segments, delivered a combined ₱3.8 billion or 32 percent of total. The power  subsidiary contributed ₱2.9 billion in net income or 24 percent of total, while the balance of 5 percent  came from other businesses.  

On a stand-alone basis, banking subsidiary and publicly listed EastWest Bank (EW) delivered a net  income of ₱6.1 billion in 2023, 32 percent higher than the previous year on sustained consumer loan  growth and strong deposit generation. The high-yielding consumer lending portfolio grew by 25 percent  and accounted for 80 percent of its total loan base. Cost of funds were also stable during the period  with total deposits growing by 8 percent. This led to a net interest income of ₱28.2 billion, an  improvement of 21 percent, with a net interest margin (NIM) of 7.6 percent. Non-interest income was  also a major contributor to the bank in 2023, expanding 51 percent to ₱7.4 billion. Return on equity  stood at 9.5 percent.  

FDC’s real estate business, comprised of listed subsidiary Filinvest Land, Inc. (FLI) and Filinvest  Alabang, Inc. (FAI), contributed ₱3.7 billion in net income to the group in 2023, 31 percent higher than  the ₱2.8 billion in the previous year. Revenues from the residential segment saw a 21 percent increase  to ₱16.1 billion led by the sale and construction progress of mid-rise condominiums (MRBs) and  housing projects. Mall and rental revenues improved by 14 percent to ₱7.6 billion with the reduction  of rental concessions, reinstatement of escalation rates and increased occupancy levels.  


The power subsidiary, FDC Utilities, Inc. (FDCUI), reported a net income contribution of ₱2.8 billion in  2023 which is equivalent to a 30 percent growth from 2022. The net income growth was on the back  of revenues that rose by 33 percent to ₱17.2 billion, driven by higher volume and average selling  prices. All units of its 3x135MW FDC Misamis plant were fully contracted within the year, helped by  the energization of the Mindanao-Visayas interconnection project in the second half of 2023. Its plant  is located in Misamis Oriental in Mindanao that services a diverse customer base composed of mostly  triple A distribution cooperatives from the region.  

Hotel operations under Filinvest Hospitality Corporation (FHC) rebounded in 2023. Net Income to the  group reached ₱106 million buoyed by the 48 percent growth in revenues to ₱2.9 billion in 2023.  Stable domestic tourism propped up occupancy and increased average room rates across the seven  properties. Revenues from food and beverage (F&B) added ₱1.1 billion to the segment. FHC’s  portfolio has approximately 1,800 rooms across seven hotels in seven cities and five regions under  the Crimson, Quest and Timberland Highlands brands.   

The company’s balance sheet remained healthy at the end of 2023, with total assets growing by 6  percent to ₱735 billion. Debt obligations are well managed with a comfortable debt-to-equity ratio and  net debt-to-equity ratio of 0.74:1 and 0.56:1, respectively.  

“We look forward to sustaining the strong momentum in 2023. Our goal is to “Fast Forward Filinvest,”  added Ms. Huang.