C06676-2017

SECURITIES AND EXCHANGE COMMISSIONSEC FORM 17-C

CURRENT REPORT UNDER SECTION 17
OF THE SECURITIES REGULATION CODE
AND SRC RULE 17.2(c) THEREUNDER

1. Date of Report (Date of earliest event reported)
Nov 8, 2017
2. SEC Identification Number
CEO2536
3. BIR Tax Identification No.
003-828-269-V
4. Exact name of issuer as specified in its charter
ABOITIZ EQUITY VENTURES, INC
5. Province, country or other jurisdiction of incorporation
Philippines
6. Industry Classification Code(SEC Use Only)
7. Address of principal office
32nd Street, Bonifacio Global City, Taguig City, Metro Manila, Philippines Postal Code 1634
8. Issuer's telephone number, including area code
(02) 886-2800
9. Former name or former address, if changed since last report
N/A
10. Securities registered pursuant to Sections 8 and 12 of the SRC or Sections 4 and 8 of the RSA
Title of Each Class Number of Shares of Common Stock Outstanding and Amount of Debt Outstanding
Common Stock P1 Par Value 5,633,792,557
Amount of Debt Outstanding (June 30, 2017) 258,846,717,539.00
11. Indicate the item numbers reported herein
9

The Exchange does not warrant and holds no responsibility for the veracity of the facts and representations contained in all corporate disclosures, including financial reports. All data contained herein are prepared and submitted by the disclosing party to the Exchange, and are disseminated solely for purposes of information. Any questions on the data contained herein should be addressed directly to the Corporate Information Officer of the disclosing party.

Aboitiz Equity Ventures, Inc.AEV

PSE Disclosure Form 4-31 - Press Release References: SRC Rule 17 (SEC Form 17-C)
Section 4.4 of the Revised Disclosure Rules

Subject of the Disclosure

Aboitiz Equity Ventures earns P15.9 billion from January to September 2017
Background/Description of the Disclosure

Aboitiz Equity Ventures, Inc. (AEV or the “Company”) ended the first nine months of 2017 with a net income of P15.9 billion, 7% lower than last year’s P17.1 billion. The Company recognized non-recurring losses of P1.2 billion (versus last year’s loss of P17 million) coming from foreign exchange (forex) losses from the revaluation of dollar-denominated loans and pre-termination costs on refinancing. Without the one-offs, AEV’s core net income remained flat at P17.1 billion.

“In the first nine months of the year, we faced challenges that tested the resilience of our portfolio and showed the underlying strength of our core operating businesses. We remain optimistic on the long-term fundamentals of our businesses, and we look forward to continuing to advance business and communities in the execution of our growth strategy,” said Erramon I. Aboitiz, AEV President and Chief Executive Officer.

Strategic Business Units (SBUs)

Power

AboitizPower’s income contribution to AEV increased by 4% year-on-year (YoY), from P11.6 billion to P12.1 billion as its net income jumped 4% to P15.7 billion.

The power generation business’ income share grew 22% YoY to P14.2 billion, accounting for 80% of AboitizPower’s business segments. The distribution business, meanwhile, reported a P3.0 billion income share, or 4% higher versus the previous year.

Banking & Financial Services

Union Bank of the Philippines’ (Unionbank) income contribution to AEV decreased by 21% YoY, from P4 billion to P3.1 billion. On a stand-alone basis, Unionbank, together with its subsidiaries, recorded a net income of P6.4 billion, 22% lower compared to the P8.1 billion earned during the same period last year.

On the other hand, the income contribution of PETNET, Inc., the group’s other financial services company, increased by 315% YoY to P20 million.

Food

AEV’s non-listed food subsidiaries (Pilmico Foods Corporation, Pilmico Animal Nutrition Corporation, and Pilmico International Pte Ltd.) reported a net income of P1.2 billion, 14% lower YoY. This was P188 million below last year’s P1.4 billion.

Feeds Philippines and Flour reported a drop in net income contributions largely driven by lower margins and higher operating costs, while Feeds Vietnam and Farms saw their incomes increase, driven by expansion in new markets, better margins, and improved selling prices of live hogs.

Infrastructure

From the infrastructure group, Republic Cement & Building Materials, Inc.’s income contribution to AEV decreased by 80% YoY from P1.3 billion to P249 million. Cement demand slowdown was experienced in the first nine months of 2017, as compared to the same period last year when there was strong demand due to the election season.

Land

AEV’s land subsidiary, Aboitiz Land, Inc. recorded a net income of P340 million – an increase of 128% from the same period last year. The increase in net income was mainly attributable to higher revenues booked by the industrial BU, and higher sales and notable construction progress by the residential BU.

About Aboitiz Equity Ventures
Aboitiz Equity Ventures, Inc. (AEV) is the public holding company of the Aboitiz Group with major investments in power, banking and financial services, food, infrastructure, and land. Today, AEV is recognized as one of the best-managed companies in the Philippines and in the region, consistently cited for its commitment to good corporate governance and corporate social responsibility. With five generations of Aboitiz Group business success behind it, AEV continues to drive change for a better world by advancing business and communities.

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For further queries on this Press Release, please contact:

THET R. MESIAS
Corporate Branding and Communication
ABOITIZ EQUITY VENTURES, INC.
[email protected]
+632 886-2497
+63917 3036766
Other Relevant Information

N/A
Filed on behalf by:
Name Sammy Dave Santos
Designation Associate General Counsel