MANILA, Philippines - Sugar group Roxas Holdings reported a 30 percent increase in net income for its fiscal year ending September 30, 2014.
RHI said its net income after tax reached P615 million, up 30 percent from last year's P473 million.
RHI chairman Pedro E. Roxas attributed the higher profit
Group’s NIAT was driven mainly by higher sales of ethanol.
"Our ethanol sales climbed P1.5 billion on the back of higher ethanol production to 32 million liters from 14 million liters last year," Roxas said.
RHI president and CEO Renato C. Valencia said the group’s sugar business margins dropped by 70 percent due to operational challenges.
However, Valencia noted that major investments have been made since last year to improve its facilities and ensure better recoveries and efficiencies in preparation for the challenges that come with the drop in tariffs on sugar to 5% percent in the next few weeks.
"The drop in our total bank debts by P2 billion for FY2014 helped boost our NIAT," he said.
Roxas Holdings’ revenues rose 37 percent to P8.3 billion for its fiscal year 2014 from P6 billion last year. However, its EBITDA slid 5.31 percent to P1.69 billion.
Meanwhile, RHI's board declared last December 5 the second tranche of the Group’s annual 35 percent dividend payment amounting P0.12 per share on January 15, 2015 for those on record as of December 22, 2014.