GT Capital Holdings Q1 income, led by its banking and automotive arms, surges 60% to ₱4.1 billion

Ty family-led GT Capital Holdings’ Q1 net profit surged by 60% year-on-year to ₱4.1 billion as earnings contributions from its banking and automotive businesses rebounded.

Excluding nonrecurring items, core net income rose by 19% year-on-year to ₱3.4 billion.

Their automotive arm Toyota Motor Philippines (TMP) delivered ₱2 billion in three-month net profit, up by 39% year-on-year, as demand for cars increased through the pandemic.

TMP booked consolidated revenues of ₱33.9 billion in the Q1, marking an 18% year-on-year growth as retail vehicle sales improved by 29% to 33,095 units compared to last year. Total unit sales also improved by 6% year-on-year to 74,585 units.

TMP launched the New Innova in February and the Vios GR Sport and the New Vios in March. They are the country’s leading automotive brand with an estimated market share of 44.4%.

“Despite the reimposition of the enhanced community quarantine and the uncertain impact of the safeguard duties on sales of imported vehicles, TMP delivered strong results in the Q1 of 2021. We are reasonably confident that this momentum will continue throughout the rest of the year.

As quarantine restrictions are lifted, transportation and mobility will be among the essential drivers of economic recovery. Furthermore, we look forward to our entry into the pre-owned vehicle segment, through our joint ventures with JBA Philippines and Premium Warranty, which will continue to expand our automotive value chain footprint,” said GT Capital Auto Dealership Holdings chair Vince Socco.

GT Cap’s banking arm, Metropolitan Bank & Trust Co., chalked up a Q1 net income of ₱7.8 billion, up by 27.1% year-on-year due to stable fee-based earnings and a larger treasury windfall.

A higher gross premium income from AXA Philippines also supported GT Cap’s performance during the period.

On the other hand, GT Capital’s property and infrastructure businesses lagged.

Federal Land reported a three-month consolidated net income of ₱327 million from ₱375 million in the previous year, citing the construction and sales activity restrictions during quarantine periods.

Total revenues amounted to ₱2.4 billion compared to ₱3.3 billion in the same period last year, while reservation sales slowed down to ₱3.5 billion, down by 55.6% year-on-year, while lease revenues fell by 18.4% to ₱349 million.

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SOURCE: Inquirer