ABOITIZ Equity Ventures, Inc. (AEV) reported a 40% increase in second-quarter (Q2) consolidated net income as stronger earnings from its power business, alongside improved contributions from its banking and food units, offset continued weakness in its real estate and infrastructure segments.
The conglomerate’s consolidated net income rose to P7.3 billion in the April-to-June period from P5.2 billion a year earlier.
“This included P8 million of non-recurring items recognized in the second quarter of 2026,” AEV said in a disclosure on Thursday.
For the first six months of 2026, consolidated net income increased 63% to P13.6 billion from P8.4 billion in the same period last year.
Excluding non-recurring items, first-half core net income rose 61% to P13.7 billion from P8.5 billion a year earlier. The period included a net non-recurring loss of P51 million.
Power remained AEV’s largest earnings contributor in the first half, accounting for 61% of total net income contributions. The food and beverage business accounted for 24%, while financial services contributed 21%.
“Transformation is not defined by a single breakthrough, but by consistently making better decisions, executing with discipline, and staying focused on long-term goals,” Aboitiz Group President and Chief Executive Officer Sabin M. Aboitiz said in a separate statement.
“Every investment we make today is intended to strengthen our businesses, satisfy our customers, and support our nation’s continued growth,” he added.
AEV’s listed power unit, Aboitiz Power Corp., contributed P10 billion in net income during the first half.
On a standalone basis, Aboitiz Power’s beneficial earnings before interest, taxes, depreciation, and amortization (EBITDA) increased 21% to P23 billion in the second quarter from P19.1 billion a year earlier.
The increase was driven by higher generation margins, stronger electricity market prices, additional capacity from the Caliraya-Botocan-Kalayaan Hydroelectric Power Plant Complex, and the commissioning of the Olongapo (221 megawatt-peak [MWp]), Armenia (47 MWp), and San Manuel (93 MWp) solar power plants. These gains offset lower availability at the company’s coal-fired power plants.
Aboitiz Power’s second-quarter net income rose 31% to P10.5 billion from P8.1 billion a year earlier.
Union Bank of the Philippines (UnionBank) contributed P3.4 billion in net income to AEV during the first half.
On a standalone basis, UnionBank’s net income more than doubled to P6.9 billion in the first six months from a year earlier as net revenues increased 9% to P43.1 billion.
Net interest income rose 8% to P33.7 billion, driven by loan growth, while net interest margin widened by 40 basis points to 6.9%.
AEV’s food and beverage business contributed P4 billion in first-half net income, up 10% from P3.6 billion, driven by higher volumes and margins at Aboitiz Foods’ flour, livestock feed, and trading businesses, as well as higher sales volumes at Coca-Cola Europacific Aboitiz Philippines, Inc. The gains were partly offset by losses in the farms and meat businesses.
Meanwhile, AEV’s consolidated real estate business posted a P37-million net loss in the first half, wider than the P4-million loss a year earlier, mainly due to losses in its economic estates segment.
The company said the weaker performance reflected the timing of revenue recognition, as the comparable 2025 period included revenues from reservation sales made in 2024. Higher leasing revenues, supported by increased occupancy and scheduled rent escalations, partly offset the decline.
AEV’s share in the net loss of Aboitiz InfraCapital, Inc. narrowed to P278 million from P525 million a year earlier as contributions from its airport and digital infrastructure businesses increased. The improvement was partly offset by lower water volumes at Apo Agua Infrastructura, Inc. due to El Niño.
Its share in the net loss of Republic Cement & Building Materials, Inc. narrowed to P743 million from P769 million.
Overall, an attributable loss of P1 billion from its infrastructure segment in the first half.
As of June 30, AEV had consolidated assets of P1 trillion, cash and cash equivalents of P86.6 billion, and a net debt-to-equity ratio of 0.9x.
At the local bourse on Thursday, AEV shares fell 2.74% to P35.50 apiece. —Alexandria Grace C. Magno
