Aboitiz Equity expects earnings to hover near pre-pandemic levels this year

Diversified conglomerate Aboitiz Equity Ventures Inc. (AEV) expects its profits to hover near pre-pandemic levels this year and climb higher in 2022, a top official said Monday.

According to AEV president and chief executive officer Sabin Aboitiz, a number of factors have to be considered for the group to return to pre-pandemic levels.

"We hope to be close this year, close to where we were as far as profit is concerned and hopefully next year we surpass it, so that's the target," he told reporters in a virtual briefing following the company's annual stockholders' meeting.

The company netted P15.4 billion in 2020 to reflect a 30% decline from P22 billion in 2019, following the impact of the COVID-19 pandemic on its businesses.

AEV's core businesses are grouped into power generation; distribution and retail electricity supply; financial services; food manufacturing; real estate; infrastructure; and portfolio investments.

"The return to pre-pandemic level is probably the hardest question because as we see, we've got so many delays because of so many unexpected things that are happening due to the pandemic," said Aboitiz.

For this year, the group has allocated P48 billion for its capital spending this year or 69% higher than the P29 billion spent in 2020.

"I'm pretty confident that this year we will be closer and next year we will surpass, but you know, this pandemic and whatever comes you never know, so that's where we are," said Aboitiz.

Shares in AEV closed Monday down by P0.75 or 2.16% at P34.05 apiece from last Friday's finish of P34.80.—AOL, GMA News