MANILA, Philippines – GT Capital Holdings Inc. of tycoon George Ty is setting aside P57 billion for capital expenditures this year to support the growth of its various businesses.
This year’s capital budget is higher than the P49 billion earmarked in 2015.
The amount would be used to strengthen the company’s various businesses.
In an interview, GT Capital chief financial officer Francisco Suarez said this year’s capex is already fully funded.
“We already raised the amount last year. No need for fund raising anymore (for the P57 billion),” he said.
In the first quarter, the company posted a five percent growth in net income to P2.95 billion as revenues expanded 16 percent to P40.8 billion.
The growth in revenue was attributed to robust sales of automotive subsidiary Toyota Motor Philippines Corp., higher kilowatt-hour (kwh) sales from Global Business Power Corp. (GBPC), as well as sustained real estate sales from Federal Land and Pro-Friends.
“GT Capital’s component companies met expectations at the start of 2016. Despite macroeconomic headwinds, the company sustained its growth trajectory. For the rest of the year, we believe that key economic drivers such as continued expansion of the BPO industry and sustained growth in progressive next wave cities, will benefit GT Capital’s lines of business,” said GT Capital chairman Arthur Ty.