SM Investments (SM) investor relations material

Group overview and strategy

• Operates market-leading businesses in retail, banking, and property, with investments in high-growth sectors of the Philippine economy.

• Generates resilient cashflows and reinvests for long-term value compounding.

• Ecosystem of synergistic businesses creates competitive advantages and high returns.

• Maintains a conservative balance sheet with diversified funding and low leverage.

• Committed to governance, sustainability, and long-term growth in the Philippines.

Financial performance and capital allocation

• FY 2025 revenues reached P681.7B with P90.5B in earnings; 3M 2026 revenues at P159.4B and earnings at P21.5B.

• Over 90% of group earnings come from recurring sources in core businesses.

• Parent cashflows are diverse, with ~60% from unlisted businesses; P21.1B returned to shareholders last year.

• Dividend per share increased to P17 in 2026, up 31%, with a 2.8% yield and 32% CAGR since 2021.

• Net debt-to-equity remains at 30:70, with average cost of debt at 5.68%.

Business segments and portfolio

• Retail: Largest and most diverse portfolio in the Philippines, with 4,854 outlets and strong cash generation.

• Banking: BDO and Chinabank deliver robust growth, with BDO assets at P5.7T and Chinabank assets at P1.85T as of Q1 2026.

• Property: SM Prime is the largest integrated developer, with 90 malls and a major reclamation project in Manila Bay.

• Portfolio investments in logistics, mining, and renewables add growth and diversification.