Megawide profit up 66% to P1.5 B

MANILA, Philippines – Megawide Construction Corp. grew its net income by 66 percent to P1.47 billion last year on the back of the strong performance of its core construction business and the first full year operations of the Mactan-Cebu International Airport.

The company registered a 42 percent jump in construction revenues to P13.96 billion while revenues from the airport business amounted to P1.48 billion.

Last year’s net profit was the company’s highest recorded growth since it listed on the Philippine Stock Exchange in 2011.

 The construction business contributed 66 percent of total earnings at P973 million while profit from the Mactan-Cebu International Airport went up 34 percent to P501 million.

Operating profit margin, however, declined by 100 basis points to 11 percent due to tighter competition in pricing.

Megawide, together with Bangalore-based partner GMR Infrastructure Ltd., assumed the operations of the Mactan-Cebu International Airport in November 2014, beating some of the biggest conglomerates including San Miguel Corp., Ayala Corp., Metro Pacific Investments and JG Summit Holdings.

Airport subsidiary GMR Megawide Cebu Airport Corp. continues to embark on new airline and destination marketing initiatives to add new routes and increase passenger volume.

Four new international flight routes were launched last May: Los Angeles  (Philippine Airlines), Xiamen (Xiamen Airlines), Taiwan (EVA Air) and Dubai (Emirates).

GMCAC is also undertaking renovations in Terminal 1 to improve operating efficiencies and lessen passenger processing times. New technologies have already been installed such as the universal self-service check-in kiosks and the automated Veripax boarding pass checking systems, which are the first in the country; improved flight information displays; and an upgraded baggage-handling system.