During the stockholders meeting of John Gokongwei's listed holding firm, its president Lance Y. Gokongwei said the capex will amount to $1.033 billion this year, a growth of nearly 12 percent from the $926 million spent in 2012.
Robinsons Land Corp will corner $320 million to bankroll the construction of four malls, two office buildings and three Go Hotels as well as the completion of at least eight residential buildings.
JG Summit will allot $300 million for the completion of its $700-million naphtha cracker plant in Batangas slated to begin commercial operations early next year.
Cebu Air Inc will get $275 million to finance the delivery of five Airbus-320s, while Universal Robina Corp will get $120 million for the expansion of its branded consumer food group.
JG Summit will allocate $18 million for Robinsons Bank, which aims to become a significant player in the banking industry over the next five years.
"Coming from the higher-than-expected economic performance in 2012, this year promises to be even better," Gokongwei said.
"Benign inflation, high foreign exchange reserves, sustained rising inflows of overseas Filipinos' remittances, strong BPO activities, rising tourist arrivals, election spending, revival in the manufacturing sector activities and low interest rates are springboard for a rosy outlook for 2013," he said.
Gokongwei reaffirmed JG Summit’s interest in the government's public-private partnership projects, especially airports because of its synergy with the group’s airline and property businesses.
It has partnered with Metro Pacific Investments Corp to bid for the rehabilitation, expansion, operations and maintenance of the Cebu-Mactan International Airport.
JG Summit has become a pan-Asean player, generating a third of its revenues in foreign currencies through the contribution of its food and beverage, airline and residential businesses.
"With these, we have not only successfully diversified the group's revenue base but also have currency hedge for any unforeseen weakness in the financial market," Gokongwei said.
JG Summit’s net income attributable to equity holders slipped to P4.86 billion in the first quarter from P4.91 billion in the same period last year. Revenues rose 8.4 percent to P38.43 billion from P35.46 billion in 2012.
source: interaksyon.com
