JG Summit suffers H1 net loss, remains 'resilient' despite pandemic disruption

ABS-CBN News

Posted at Aug 14 2020 12:08 PM

MANILA - JG Summit Holdings Inc said Friday it posted a net loss in the first half of the year, as it remained “resilient” due to its diversified portfolio that cushioned losses due to the impact of COVID-19.

JG Summit Holdings posted a net loss of P720 million in the first six months of the year from a net income of P17.4 billion in the same period last year, it said.

Core net income after taxes reached P1.4 billion due to strong contributions from URC and Robinsons Bank that offset profit declines in other businesses, JG Summit said in a disclosure to the stock exchange.

The lockdown, imposed in March, “severely impacted” operations of its airline, petrochemicals, malls, hotels as well as food, banking and office units, the company said.

The “robust growth” in Robinsons Bank Corp, single digit topline growth of Robinsons Land and Universal Robina and higher dividends from PLDT Inc tempered the negative impact of the pandemic, it said.

Consolidated revenues declined 26 percent year-on-year to P116.5 billion for the first half, it added.

JG Summit said its balance sheet remains strong.

"With the strength of our balance sheet coupled with our organizational capabilities to quickly adapt to the new normal and respond to changing consumer needs, I am confident in our ability to compete and take advantage of emerging opportunities ahead,” JG Summit president & CEO Lance Gokongwei said.

“While some businesses were heavily disrupted, we are fortunate that we have a diversified portfolio that cushioned the impact with strong profits coming from food, banking and core investments in telecoms,” Gokongwei added.

Cebu Pacific earlier reported a net loss of P9.141 billion for the January to June period, as the pandemic grounded planes and devastated the global aviation industry.