With the positive growth trajectory now being tracked by the country’s economy, the Aboitiz Equity Ventures is mulling to pursue various expansion plans to remain growth driven in 2017.
AEV, the public holding company of Aboitiz Group, previously reported a P4.7 billion net profit during the first quarter of this year, a figure that represented a 7 percent decrease year-on-year compared to previous net profits.
“The company recognized non-recurring losses of P442 million (versus last year’s gain of P186 million) coming from foreign exchange (forex) losses recognized upon revaluation of dollar-denominated liabilities and mark-to-market losses on derivatives,” AEV said in a statement last week.
The holding company’s major investments include power, banking and financial services, food, infrastructure, and land.
Despite the decrease in income during the first quarter of 2017, AEV said its business units are bent to pursue expansion plans that equally prioritize growing the business while developing communities.
In a statement on Thursday, AEV said it already launched its Group Purpose with a theme: “To Drive Change for A Better World” and refreshed the company’s brand positioning anchored on a guiding principle: “Advancing Business and Communities”.
The major moves were opened during AEV’s annual stockholders’ meeting last May 15, 2017 at Fairmont in Makati City.
“Aligned with the country’s continued economic growth, the Aboitiz Group’s own growth journey remains promising and purpose-driven. We are going to drive change for a better world by advancing business and communities through the various products and services that our business units provide,” said Erramon I. Aboitiz, AEV President and Chief Executive Officer in the statement.
Aboitiz added that AEV will “advance business and communities by powering progress, providing smart banking solutions, creating partners for growth, building infrastructure, and empowering communities,” with the aim of making contributions to nation building and help uplift the lives of millions of Filipinos.
The statement also emphasized that Aboitiz Power is committed to expanding its power generation capacity to 4,000 MW by 2020 to help the nation address its power requirements.
“On top of new acquisitions, the company will continue to execute its Gentailer (generator-retailer) Strategy through Open Access, and continue to look for opportunities to enhance and balance its energy portfolio,” AEV said.
AEV’s banking arm, the UnionBank, will also pursue collaborations and partnerships with financial technology firms, put in place IT (information technology), risk management, and compliance systems, while continuing the execution of its digital transformation strategy.
The company’s food business, Pilmico, will also continue to expand its customer reach in the ASEAN (Association of South East Asian Nation) region; expand its feed mill capacities in Iligan and Tarlac; export animal feeds to Vietnam, Indonesia, and the Pacific; and target 20,000-sow level for hog farms and one million birds for layer farms, AEV added.
The Aboitiz InfraCapital, the statement said, will continue to participate in public infrastructure projects while APO Agua is expected to break ground on its new water treatment plant while the AboitizLand will fully transition itself to becoming a national player with the completion of its headquarters transfer from Cebu to Manila.
“Beyond business, we have invested substantially in ventures of social significance, believing that our businesses must touch the lives of people in a meaningful way, creating a better world that will be enjoyed by current and future generations,” Aboitiz said.
He added that AEV, along with its business units, aims to spend P76.7 billion in capital expenditures this year, or up 83% versus P42 billion spent last year, on the back of sustained optimism over the country’s economic growth prospects, particularly in the power and infrastructure sectors.