Stock News 2011: BDO net income soars 46% to P8.8 B

Banco De Oro Unibank, Inc. (BDO) reported a 46 percent jump in audited net income last year to P8.8 billion from the P6 billion it earned in 2009, exceeding its initial earnings guidance of P8.1 billion.

The Bank, prior to the income release, has reported that its consolidated resources hit the P1-trillion mark at the end of 2010, making it the first Philippine bank to achieve that milestone.

In a disclosure to the Philippine Stock Exchange, BDO said its strong performance was a result of a more diversified and sustainable earnings stream from its core lending, deposit-taking and service businesses.

Gross customer loans expanded 15 percent to P541.5 billion with firm growth across all business segments. Total deposits, meanwhile, rose 13 percent to P782.6 billion.

A larger earning asset base coupled with lower funding costs resulted in the 12-percent increase in net interest income to P34.2 billion.

The bank’s fee-based service income likewise grew to P10.4 billion on strong contributions from trust, private banking, remittance, transaction banking, insurance, investment banking, and credit cards.

http://www.mb.com.ph/node/306767/bdo-net-income-

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Stock News 2011: NCH eyes local retail market

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NCH Philippines Inc., a wholly owned subsidiary of US-based NCH Corp. located in Dallas, Texas has been operating quietly in the Philippines since 1968 but hardly anyone in the Philippines knows about its existence, except for industrial clients like maintenance engineers and companies involved in maintenance services.

Yet, this widely diversified group — both in products and markets — sold in 2009 (despite the global financial crunch) a total of $943 million in the US, North America, Europe, the Philippines, Asia and Latin America while most of its competitors have slid or folded up.

Its entry into the Philippines in 1968 was in owning 40 percent and being only a division of the highly-diversified Jardine Davies group(that included International Harvester, Hapag Lloyd Shipping and others), squeezing its way to the top until it finally bought 100 percent of Jardine in 1981. Its first Filipino country manager was Tristan Villareal, followed by two Americans. Currently, another Filipino, Ernie Gutierrez is at the helm until he turns it over to Rodolfo Arellano beginning May 1, 2011. May is the start of the fiscal year of the company.

http://www.philstar.com/Article.aspx?articleId=661509&publicationSubCategoryId=78

Stock News 2011: Software firm targets global market

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Once more: Yes, the Filipino can.

In another rendition of the battle cry to push for global recognition for Filipino talents, a local software development firm is making the move in the global spotlight.

“Our dream is to create a Filipino technology company admired by the world,” said Carlen Martin Legaspi, president and CEO of Orange & Bronze Software Labs (O&B).

“We have very good software developers and great IT talents but there isn’t one Filipino IT company that we can point to that is the peer of global players,” Legaspi said.

Monchito Ibrahim, commissioner of the Commission on Information and Communications Technology (CICT), who has more than 35 years’ experience in the ICT industry, graced the launch and lauded the move, saying ICT is one area where technopreneurs can be very successful, though the market space has changed a lot and there is going to be more competition.

http://www.philstar.com/Article.aspx?articleId=661458&publicationSubCategoryId=71

Stock News 2011: Samsung leads Phl compact camera market

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Samsung, the world leader in technology innovation, is now the leader in the digital still camera (DSC) market in the Philippines with its compact cameras.

In a retail audit by the international and independent GfK Research Group, data gathered from retailers and resellers showed Samsung as the new leader in the compact cameras with fixed lens category of the DSC market in the last two months of 2010.

In this category which comprises 91.3 percent of the DSC market, Samsung became the top-selling brand in terms of unit sales with 21.7 market share in November, and 22.7 percent in December 2010.

The success of Samsung’s compact digital cameras is attributed to the company’s strengthened sales channels and its growing number of competitive products in the market.

http://www.philstar.com/Article.aspx?articleId=661463&publicationSubCategoryId=71

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Stock News 2011: Panasonic takes Inverter technology a notch higher

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Panasonic, a world leader in home applian-ces, takes its now-imitated Inverter technology a notch higher with the introduction of its 2011 line of Inverter-equipped air-conditioners.

Touting its flowing curves, intuitive intelligence while blowing cool, clean and healthy air to protect the health of consumers, the Panasonic split-type air-conditioners for 2011 still promises tremendous energy savings and at the same time introduces a couple of other features that are not only helpful in realizing electricity savings but also reduces energy wastage for the sake of the environment.

This year’s new models include EcoNavi, another global ecological standard innovation introduced by Panasonic, furthering its corporate objective of going “green” in its products but definitely without sacrificing a comfortable lifestyle.

After the success of the Inverter technology that promised huge electricity savings, Panasonic, true to its innovative and pioneering commitment to help protect the environment, introduces EcoNavi, an intelligent and ecologically sound function that works by self-detecting where energy is wasted and self-adjusts its cooling power to reduce energy wastage.

So how does the EcoNavi concept of the new Panasonic air-conditioner models work? The technology employs high-precision human sensor and control program technologies in order to optimize the operations of a Panasonic air-conditioner depending on specific room conditions.

Now how is energy saved? The technologies determine where energy is normally wasted, and then self-adjusts the cooling power to help save energy in the most efficient manner but still continue to enjoy uninterrupted cooling, utmost comfort and convenience.

http://www.philstar.com/Article.aspx?articleId=661461&publicationSubCategoryId=71

Stock News 2011: Meralco says customers to see lower bills

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The Bangko Sentral ng Pilipinas (BSP) reported over the weekend that banks' non-performing loans (NPL) ratio last year dipped further to 2.88 percent, lower than end-2009's 2.97 percent due to the industry's improving capital health.

The end-December NPL ratio was also the lowest recorded ratio for universal and commercial banks since the 1997 Asian financial crisis, said the BSP, and the 27th consecutive month that the NPL ratio has been below four percent.

BSP in a statement said the NPL ratio eased by 0.19 percentage point compared to November's 3.07 percent and by 0.09 percentage point from the previous year's ratio.

Improvement to the ratio resulted from the 3.04 percent drop in total NPLs of P80.8 billion from P83.33 billion in November and the 3.34 percent growth in total loan portfolio of P2.8 trillion in December from P2.71 trillion a month before. NPLs are loans that have remained unpaid for 90 days

At the end of December, provisioning for bad loans led to the NPL coverage ratio improving to 118.35 percent from November's 116.53. The non-performing assets (NPA) coverage ratio widened to 60.04 percent from 59.68 percent in the previous month. Year-on-year, the BSP said NPL and NPA coverage ratios increased reference ratios of 112.34 percent and 54.88 percent, respectively. Total NPAs amounted to P205.5 billion.

http://www.mb.com.ph/node/306536/bank

Stock News 2011: Chinabank profit rises 22% to P5 billion

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China Banking Corporation reported robust gains in 2010 with its audited net income improving by 22 percent to P5 billion on the back of continued loans growth and improved trading gains.

The bank said its fee-based businesses such as bancassurance, private banking, cash management and remittances also contributed to the earnings growth.

China Bank’s 2010 financial ratios underscore its sustained profitability in 2010: return on equity of 16.69 percent from 15.36 percent, return on assets of 2.15 percent from 1.90 percent.

“2010 was a year of dynamic growth for China Bank. We continued to pursue our aggressive expansion program ‘ branch openings, ATMs and even exceeded our income target of P4.4 billion,” said China Bank president Peter S. Dee.

http://www.mb.com.ph/node/306355/chinabank-profit-ri

Stock News 2011: Ayala's IMI posts 56% fall in profit to $4.5 million

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Integrated Micro-Electronics Inc. (IMI), a subsidiary of Ayala Corporation, reported a 53 percent drop in profits attributable to equity holders of the parent company to $4.47 million last year from $10.07 million in 2009.

In a disclosure to the Philippine Stock Exchange, IMI said it recorded $412.3 million in consolidated revenues, a growth of 4 percent, due to the sustained strong performance of IMI’s China operations and incremental revenues from its acquisition of PSi Technologies, Inc.

“Despite unusual levels of uncertainty in the supply and demand situations for raw materials and electronic end-products, IMI sustained its profitability through intensified cost-cutting and operational streamlining initiatives,” said IMI president Arthur Tan.

He added that “we were considerably impacted by the declining consignment or captive business with some of our Japanese original equipment manufacturer (OEM) customers, the rising costs of materials and labor in China, and the appreciation of the Philippine peso.”

Tan said IMI remains financially robust, ending the year with a cash balance of US$38 million. Its debt-to-equity ratio stays healthy at 0.33:1.0. “Moreover, we have sufficient credit facilities to support funding requirements of our expansion program,” he said.

The combined China and Singapore operations generated $248.8 million in revenues, accounting for 60.4 percent of total IMI revenues.

http://www.mb.com.ph/node/306187/ayala

Stock News 2011: DMCI bags P9.34-B construction projects from Razon, SMC

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DM Consunji Inc., the construction arm of DMCI Holdings, has secured contracts for office, residential and hotel-casino projects worth P9.34 billion.

In a disclosure to the Philippine Stock Exchange, the firm said it has been contracted to build the P8.59 billion Entertainment City project, the P625-million Makati Diamond Residences, and the P117-million One Network Bank Headquarters.

The Entertainment City project is owned by Sureste Properties Inc. in joint venture with Bloomberry Hotel and Resorts Inc. and will take about 22 months to complete. It is located at the Philippine Amusement and Gaming Corporation’s Bagong Nayong Pilipino Entertainment City in Parañaque.

It will be an 11-storey hotel with a three-level entertainment podium, and 10-level parking garage building. The project will have a covered floor area of about 180,000 square meters.

Makati Diamond Residences is owned by San Miguel Properties Inc. and will take 26 months to complete. It will be residential condominium with 28 floors and four basement levels in Legaspi Village, Makati.

The One Network Bank headquarters will be a five level banking building in Sasa, Davao City and will take 12 months to build.

http://www.mb.com.ph/node/306028/dmci-bag

Stock News 2011: Philippines has most expensive electricity in Asia

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The Philippines has gained a new record, that of having the most expensive electricity in the whole of Asia.

The new record was reported by the Manila Electric Company (Meralco) to the power and energy committee of the Philippine Chamber of Commerce and Industry (PCCI) chaired by Jose Alejandro during a recent meeting.

The committee quoted a study made last October by the International Energy Consultants, an independent think-tank which allowed the power distributor to borrow the result of said study.

The study had shown that with average retail rate of electricity of 18.1 US cents per kilowatt-hour in the Philippines, it has eased out Japan at the top of having the most expensive electricity in Asia. As of the same month last year, electric rates in Japan were at 17.9 US centers per kilowatt-hour.

Besides Japan, subjected to the study were the utility companies in Thailand, Malaysia, South Korea, Taiwan, Singapore and Indonesia.

A similar study made by Meralco using the figures in the last quarter of 2008 indicated that until that year, the Philippines was still slightly behind Japan in electric rates.

The disparity in rates between the Philippines and most countries in the rest of Asia was so big that with the exception of Japan and Singapore, what consumers pay elsewhere is just the equivalent of the generation charges that consumers in the Philippines pay. This averages P5 a kilowatt-hour.

The high cost of electricity in the Philippines was traced by the group to the fact that all costs - from producing power to distribution and taxes – are passed on to consumers.

http://www.mb.com.ph/node/305841/philippine

Stock News 2011: Jollibee chalks up P3.1-B net profit in 2010, up 16%, as sales top P70 B

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Jollibee Foods Corporation posted a 16.3 percent improvement in net income last year to P3.1 billion from P2.67 billion in 2009, boosted by higher profit margins and strong fourth quarter sales.

In a disclosure to the Philippine Stock Exchange, JFC said systemwide sales grew 10.2 percent to P70.25 billion from P63.73 billion in the previous year. Systemwide sales meausure all sales by both company-owned and franchised stores.

On the other hand, fourth quarter profits jumped 17.4 percent to P954 million while system-wide sales expanded 11.6 percent to P19.46 billion.

“Practically all our brands in all countries where we operate achieved growth in the fourth quarter of 2010 versus 2009 led by our businesses Yonghe King and Hong Zhuang Yuan in China (up 30 percent), and Jollibee International (up 25 percent),” said JFC chairman Tony Tan Caktiong.

Tan added that “the acquisition of Mang Inasal contributed five percentage points of worldwide sales growth. Its worldwide store network stood at 2,316 stores as of the end of 2010, 23 percent more than 2009 primarily due to the addition of 345 Mang Inasal stores.

“We are able to preserve and even slightly improve our profit margins despite the fast rising cost of labor, power and raw material,” he noted.

http://www.mb.com.ph/node/305627/jollibee-chalk

Stock News 2011: BoI investments jump 183% as of Feb

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New projects registered with the Board of Investments (BoI) from January to February 15 this year jumped 183 percent to P11.398 billion from P9.917 billion in the same period last year.

BoI executive director Lucita P. Reyes said the investments represent the combined cost of 29 projects approved for the first one and a half month period this year. There were only 22 projects registered with the BoI in the same period last year.

Based on the BoI data, these new projects are expected to generate 3,661 jobs once they go into full commercial operation.

"We have good prospects this year, this will be a very good year because of the thrust of the government to continue improving the investment environment," Reyes said.

Last year, the BoI registered P301 billion worth of investments, surpassing its 2010 target of P287 billion.

For 2011, the BoI has set a lower investments target of P296 billion because the agency has decided not to register anymore the independent power project administrators, which account for a significant share of the agency’s project approvals in 2010.

http://www.mb.com.ph/node/305311/boi-inve

Stock News 2011: EastWest Bank reduces mortgage financing interest to 5.88%

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EastWest Bank has recently introduced its lowest home loan interest rate of 5.88% fixed for the first year. Owning a real estate property by availing of a mortgage financing facility at only 5.88% interest rate provides borrowers a great deal of savings which they can use for other expenditures or purchases.

The Bank now offers a range of housing loan products that are especially designed for the specific needs of the borrower.

The Home ACQUIRE allows an availee to purchase a house and lot or a townhouse, while Condo ACQUIRE provides financing for acquisition of a condominium unit. For those who wish to purchase a residential lot, the Bank offers Lot ACQUIRE which is payable within a 10 year period.

Lot owners who opt to build their own house in their property may apply for Home CONSTRUCT with a maximum payment term of 30 years.

http://www.philstar.com/Article.aspx?articleId=658215&publicationSubCategoryId=74

Stock News 2011: Globe Telecom's mobile subscriber base up 14% to 26.5 million in 2010

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Globe Telecom mobile subscriber base registered double-digit growth in 2010 on the back of attractive product and loyalty offers for postpaid and prepaid subscribers. As of December 2010, the company’s mobile subscriber base reached 26.5-million, up 14% from last year’s 23.2-million, with year-to-date total net additions of 3.2-million.

Globe postpaid subscribers closed the year with over a million active subscribers, up 25% year-on-year. It was a record high acquisition rate with full year net subscriber additions of about 215,000 new postpaid customers.

The outstanding performance of the postpaid business in 2010 is attributed to the pioneering launch of the personalized postpaid plans, My Super Plan and My Fully Loaded Plan which continue to attract new subscribers. The rollout of 4 flagship and 4 regional Globe stores in key cities in the country last year also unleashed the Globe brand’s immense sales potential and strong brand affinity.

http://www.mb.com.ph/articles/304024/globe-telecoms-mobile-subscriber-base-14-265-million-2010

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Stock News 2011: Camella: At the heart of progress in Visayas

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Grounded in rich traditions, Visayas is making its mark as a hub of development.

Multinational corporations are turning to the region for expansion of operations, making it a growing economic center with Old World charm. At the heart of this progress is Camella which continues to provide affordable housing in a style befitting a modernizing region.

Long before the arrival of international investors, the region has been identified by the housing developer as a growth area and has established its presence through various developments.

Today, the developer continues its expansion as the region welcomes more businesses.

"Camella has always been a partner in making the Filipino dream a reality. But we do not merely build homes, we build communities. Our presence in the Visayas has enabled the region to offer an affordable but quality standard of living for its growing upwardly mobile residents. Investors are able to come here and set up shop because they know that their employees and their families would have a place that they could call home – one that is safe, secure and nurturing of their families’ needs," said Jerylle Luz Quismundo, president.

With the increase in the demand for affordable homes and practical investment options, Camella has opened two new communities that offer outstanding value, contemporary home design and proximity to major thoroughfares, malls, schools, hospitals and business areas.

http://www.mb.com.ph/node/303523/camella-at-heart-progre

Stock News 2011: Anchor Land builds 7 property projects

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Anchor Land Holdings, Inc. said it is taking full advantage of the bullish real estate market with seven simultaneous projects this year, underscoring the company’s status as one of the country’s emerging developers today.

The projects range from commercial developments to luxury residential suites and the expansion of its best-selling mid-rise condominium project at the ASEANA Business Park in Parañaque City.

“This is our vote of confidence in the Philippine economy in general and the property sector in particular,” said ALHI chairman Stephen Lee Keng. “It is also our way of living up to our motto of 100 percent commitment to deliver all projects on time, without sacrificing the quality and beauty of our projects.”

Lee said construction works are in full swing in four of the projects: The SoleMareParksuites Phase I near Macapagal Boulevard at the ASEANA Business Park, Two Shopping Center along Cuneta Avenue in Pasay City, the Anchor Skysuites along Ongpin Street in Binondo, and the Wharton Parksuites along Masangkay Street, also in Binondo.

SoleMareParksuites and Two Shopping Center are being developed by ALHI subsidiary Posh Properties Development Corp. (PPDC) while Anchor Skysuites is being undertaken by Gotamco Realty Investment Corporation (GRIC). Wharton Parksuites is a project of another subsidiary, Manila Towers Development Corp. (MTDC).

http://www.mb.com.ph/articles/301801/anchor-land-builds-7-property-projects