Financial Capital
The following were the advancements in the conglomerate’s three-pronged business strategy in 2022. These directions have been agreed upon with the Board in a strategic planning workshop while the Key Performance Indicators shall be discussed as a next step.
Sources of Financial Capital
FPH began the year with PHP257.0 billion, of which 49.7 percent are from loans and debts, 49.6 percent from retained earnings, and 0.7 percent from stocks.
Financial Performance
The consolidated revenues of FPH at year-end was PHP170.3 billion, an increase of 36.1 percent from PHP125.2 billion in 2021. Recurring net income attributable to equity holders of the Parent was PHP12.8 billion, up by PHP2.7 billion or 27.1 percent from PHP10.1 billion in 2021. The increase in revenue was driven by improved earnings across our core businesses.
FPH Financial Performance
(Unit: Php Billions)
Distribution of Financial Capital
As a consolidated group, FPH returned about 87.0 percent of total generated value to the economy. This includes value distributed as employee wages and benefits, taxes and payments to government, payments to capital providers, operating costs, payment of dividends, assistance to communities, and environmental programs. Throughout the different business segments, values distributed were between 81.4 percent to 99.2 percent of their respective generated values.
Summary
The significant increase in financial performance in 2022 is owed to the synergy between the various capitals and how they were managed and utilized through the business models of FPH and its subsidiaries, along with careful execution of risk strategies. Each succeeding section on the different capitals presents in detail the conditions that enabled the good performance of FPH and its major business segments for the year.
Financial and Non-Financial Outcomes
Financial capital increased significantly, attributed to increased earnings across core businesses. This also translates to more value distributed to stakeholders and more financial resources to support business activities.
