SM INVESTMENTS CORPORATION Good afternoon, our dear shareholders.
Allow me to welcome you to the SMX Convention Center as we resume our stockholders' meeting in-person, after three years of virtual meetings.
2022 has been an exceptional year for us.
Let me share with you our milestones for the past year.
Together, We Recover | 1 |
Resurgence of Economic Activity
GDP Growth
2019 | 2020 | 2021 | 2022 | Overseas Filipino | 3.6% | ||
7.6% | Workers Remittances | ||||||
6.1% | 5.7% | ||||||
Unemployment | 4.3% | ||||||
500 tons | |||||||
-9.5% | of relief goods | ||||||
delivered | |||||||
2
2022 was a year of remarkable growth, sustained benefits to our communities, impact towards our key advocacies, and record results.
Philippine GDP grew by 7.6%.
Remittances by overseas Filipino workers grew by 3.6%.
Unemployment fell to 4.3%.
All of these created an environment of economic activity, active growth and strong consumer confidence.
Together, We Recover | 2 |
Strong Financial Performance
Portfolio
Investments
Php553.8bn ↑28% | 11% |
Revenues | Retail |
21% Net Income 45%
Mix
Php61.7bn ↑53%
Net Income
23%Banking
Property
3
We were conscious of inflationary risks and adapted our business operations and customer offerings accordingly.
As a result, all our businesses participated in the reopening of the economy and delivered good growth.
Our strong financial performance last year was driven by all three core businesses- retailing, banking and property--- as well as a significant contribution to our consolidated earnings by our portfolio investments.
Banking contributed 45% to net income, with property accounting for 23%, retail contributing 21% and portfolio investments the remaining 11%.
We were also able to improve operating margins across our businesses due to the rigorous review of efficiencies and cost saving actions taken over the last two years.
Overall, SM grew consolidated revenues by 28% to PHP554 billion and earnings by 53% to PHP62 billion in 2022.
This exceeded pre-pandemic performance.
Together, We Recover | 3 |
Conservative Balance Sheet
Portfolio
Investments
Php1.5tn | ↑9% | 11% |
Assets | Retail | |
21% Net Income 45%
Mix
35:65
Net Debt to Total Equity
23%Banking
Property
4
We also continued to build our asset base and maintain a conservative balance sheet. Our total assets increased 9% to PHP1.5 trillion.
And our gearing improved to 35% net debt to 65% total equity.
Together, We Recover | 4 |
Banking - BDO
NPL Ratio 1.95%
NPL
Coverage 167%
5
Our banks started the year from a position of strength, having already recovered from the pandemic in 2021.
In 2022, they showed revenue growth across their core activities, with lower nonperforming loans than provided for and strong balance sheets in place.
BDO's non-performing loan (NPL) ratio dipped to 1.95% while NPL coverage strengthened to 167%.
Together, We Recover | 5 |
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
SM Investments Corporation published this content on 27 April 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 April 2023 07:57:03 UTC.
