September 17, 2024 | 12:00am
MANILA, Philippines — Analysts see a stronger second half performance for the investment holding company of the Sy family.
Philippine Equity Partners research analyst Russ Toribio in a research report said gains by SM Investments Corp. (SMIC) from the first half would continue “as a stronger second half lies ahead.”
“Moderating inflation increases the purchasing power of consumers which will drive growth in retail and leisure business,” Toribio said.
In a separate research report, Macquarie Capital Securities (Philippines) head of research Gilbert Lopez said SMIC’s reported net profit of P40.2 billion in the first half was ahead of the brokerage firm’s forecast but in line with available full-year consensus.
Lopez said SMIC’s key businesses typically have a seasonally stronger second half.
The second semester is seen as a traditionally better season for the retail business.
Lopez also noted that the sequential improvement in earnings across all of SMIC’s major businesses in retail, banking and property.
Lopez said particularly interesting was the marked improvement in retail sales, which was reflective of consumption recovery.
SMIC ended the first half with a 10-percent increase in net income to P40.2 billion from P36.5 billion in the same period in 2023.
Be the first to comment