Strong core businesses underpin GT Capital Q1 performance

MANILA, Philippines — Conglomerate GT Capital Holdings Inc. delivered higher earnings in the first quarter, bolstered by the strong performances of its core businesses.

The listed holding company of the Ty Group reported a seven-percent jump in its core net income to P7.06 billion in the first quarter from P6.56 billion a year ago.

The conglomerate’s consolidated net income likewise increased by seven percent to P7.11 billion from last year’s P6.64 billion.

The group attributed its robust results for the three-month period to the record performance of Metrobank as well as net income contributions of Toyota Motor Philippines (TMP), AXA Philippines Life and General Insurance Corp., Federal Land Inc. and associate Metro Pacific Investments Corp.

“The healthy growth rates GT Capital realized during the first quarter of 2024 are as what we expected. We are encouraged by the quality and persistency of our core earnings growth on top of the prior year’s historical high levels,” GT Capital president Carmelo Maria Luza Bautista said.

“These demonstrate the strength in the underlying fundamentals of GT Capital and the resiliency of the domestic economy. We thus remain confident that our group will be able to sustain its early gains through the rest of this year,” he said.

Metrobank saw net earnings rise by 14.5 percent to P12 billion in the first quarter, driven by consistent growth of its lending portfolio, better operational efficiencies, stable asset quality and continued execution of strategies to optimize the use of capital.

Metrobank president Fabian Dee said the bank remains focused on sustaining its profitability.

“Our strong commitment to our customers is at the center of our growth strategy. We will consistently offer tailored financial solutions that directly address the needs and goals of those we serve to help them build a more prosperous future,” he said.

TMP, meanwhile, registered a consolidated net income of P4 billion, with revenues increasing by five percent to P56.2 billion in the first quarter.

The automotive company recorded a 10-percent growth in retail sales to 49,667 units during the period, allowing it to maintain its market dominance with a 45.1 percent market share.

“TMP’s performance during the first three months of this year was driven by the favorable market acceptance of the company’s wide and varied vehicle model offerings. This encourages us to continuously provide throughout the remaining months of this year and beyond ever-better passenger cars and commercial vehicles that are paired with worry-free after-sales and value chain services to tailor-fit the mobility requirements of Filipinos across the country,” TMP president Masando Hashimoto said.

Property subsidiary Federal Land contributed P291 million in net income, with revenues reaching P3 billion during the period.

GT Capital said a major relaunch and estate improvements for the Met Park community in the Bay Area in Pasay is in the pipeline with the intent to further bolster the Federal Land Communities product line.

For its part, AXA Philippines booked a net income of P728 million in the first quarter, up three percent year-on-year driven by the increase in consolidated life and general insurance gross premiums.

Improved financial and operating results from Metro Pacific’s holdings delivered a 20-percent hike in contribution from operations to P6.8 billion. Metro Pacific’s consolidated core net income expanded by 29 percent to a record high P5.6 billion in the first quarter from P4.3 billion in the same period last year.