San Miguel’s Q1 2025 profit surges four-fold amid asset, forex gains

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Excluding one-off gains, San Miguel Corporation's net income still jumped 31% to P19 billion

MANILA, Philippines – San Miguel Corporation (SMC) saw its profits more than quadruple in the first quarter of 2025 following the closing of a multibillion deal with its fellow power giants.

In a disclosure to investors on Wednesday, May 14, SMC reported that its net income skyrocketed 387% to P43.4 billion from P8.9 billion the year before.

The surge comes amid one-time gains from the $3.3 billion deal between San Miguel Global Power (SMGP), Meralco PowerGen Corporation and AboitizPower for the construction of an integrated liquefied natural gas (LNG) facility in Batangas.

The one-time gain from the sale of power assets, along with foreign exchange gains, helped offset a decrease in consolidated revenues.

Without the gains from the sale, the conglomerate’s core net income still jumped 31% to P19 billion.

“Despite some challenges, our businesses remained resilient and continued to perform well. We will keep moving forward, grow responsibly, and make sure more Filipinos benefit from the progress we are making,” said SMC chairman and chief executive officer Ramon Ang.

Power, fuel and oil

In the first three months of 2025, revenues of San Miguel Global Power (SMGP) slipped 4% to P42.5 billion due to the deconsolidation of the Ilijan Power Plant in Batangas. The decline in its topline was partially offset by contributions from its other power facilities and battery energy storage systems.

SMGP reported a bottomline of P26.4 billion, which includes a P21.9 gain from the asset sale. Excluding these one-off gains, profit nearly tripled year on year to P4.5 billion.

F&B business

Consolidated revenues of San Miguel Food and Beverage climbed 4% to P98.9 billion, while its bottomline grew 16% to P11.6 billion.

SMC’s food business saw net income jump 80% to P3 billion thanks to strong poultry sales and a steady demand for processed meats.

Meanwhile, the brewery business reported P36.3 billion in sales. While its net income was flat at P6.6 billion, Ginebra San Miguel’s net income grew 11% to P2.1 billion.

The parent firm attributed this to resilient market demand and strategic brand initiatives.

Other businesses

SMC’s fuel business Petron grew its net income by just 2% to P4 billion amid strong domestic demand, steady operations, and improved margins. However, its topline dropped 14% to just P194.4 billion due to lower crude oil prices and “softer” export sales.

The Ang-led firm’s infrastructure arm also saw a steady 7% increase in its topline amid continued growth in its toll road operations. Earnings before interest, taxes, depreciation, and amortization (EBITDA) also climbed 6%.

One SMC unit that saw declining growth this quarter is its cement business, which includes Eagle Cement, Northern Cement, and Southern Concrete Industries. The companies’ consolidated topline slipped 4% to just P8.9 billion due to lower average selling prices amid heightened competition from importers. Its EBITDA also declined 5% to P2.5 billion. – Rappler.com