First Pacific Co Achieves Record Highs Amid Challenges

First Pacific Co ((HK:0142)) has held its Q4 earnings call. Read on for the main highlights of the call.

First Pacific Co Reports Record Highs Amidst Challenges

The recent earnings call for First Pacific Co was marked by an overall positive sentiment, with the company celebrating record highs in revenues and profits across several key divisions. Despite facing some challenges, such as a decline in dividend income and issues at Philex Mining, the company expressed confidence in continued growth.

Record High Contributions and Profits

First Pacific achieved record high contributions, recurring profits, and full-year distributions to shareholders. The company announced a payout of HKD0.251 per share, attributing this success to superb earnings and strong cash flows.

Indofood’s Record Performance

Indofood reported its 11th consecutive year of record high revenues, with its EBIT and core profit also reaching new heights. The Noodles division, in particular, achieved a full-year margin of 25.9%, the highest on record.

Metro Pacific Record Highs

Metro Pacific experienced record high contributions and core profits, driven by its power, water, and roads sectors. Higher tariffs benefited the water and roads divisions, while increased sales and production boosted the power sector.

PLDT’s Record Highs and Fintech Growth

PLDT achieved record high sales and service revenues, fueled by robust growth in mobile data, SMS, and fixed line data. Its fintech unit, Maya, saw significant growth, with depositors and balances more than doubling, leading to profitability.

Decline in Dividend Income

While dividend income saw a slight decline from the record high set in 2023, the overall balance sheet and cash flows of First Pacific remained strong.

Challenges at Philex Mining

Philex Mining faced challenges with a slow decline in the grades at its Padcal mine. The company anticipates production overlap with the Silangan project in 2026.

PacificLight Power’s Moderate Earnings

PacificLight Power’s earnings moderated in 2024 due to lower blended non-fuel margins, following a record performance in 2023.

Forward-Looking Guidance

First Pacific provided an optimistic outlook for the future, highlighting strategic developments and financial metrics. The company maintained investment-grade credit ratings and an interest coverage ratio of 4 times, with no borrowings due until 2026. Plans for future projects, including PLP’s power plant and the Maynilad IPO, were also discussed, indicating continued strategic growth.

In summary, First Pacific Co’s earnings call reflected a positive performance with record highs across several divisions, despite some challenges. The company remains optimistic about future growth, supported by strategic developments and strong financial metrics.