First Pacific Company (142) H1 2026 earnings summary

Executive summary

• Turnover rose 5.7% to US$5,316.3m; recurring profit fell 2.5% to US$365.9m, the second-highest first-half result, as weaker currencies weighed on translated contributions. At constant exchange rates, recurring profit would have risen 3%.

• Indofood and MPIC delivered record core profit, while PLDT posted record service revenues and EBITDA; management remained confident in medium-term growth.

• S&P upgraded the credit rating to BBB with Stable outlook; the interim distribution remained HK13.0 cents per share, equivalent to a stated 5.4% yield.

Financial highlights

• Contribution from operations declined 2% to US$415.4m; Head Office net interest expense fell 10% to US$31.6m, while overhead rose 4% to US$49.5m.

• Profit attributable to owners fell 22.9% to US$301.5m, reflecting US$51.0m of FX and derivative losses versus US$10.4m of gains in 1H25; recurring EPS declined 2.5% to 8.60 US cents.

• Consolidated net debt decreased 2.3% to US$8,535.5m; gearing fell to 0.65x from 0.67x at year-end 2025.

• Interim distribution was maintained at HK13.00 cents (US1.67 cents) per share; total distribution was US$71.0m.

Outlook and guidance

• Indofood forecasts ICBP sales growth of 5–7% and EBIT margin of 20–22%; Bogasari sales growth of 2–5% and EBIT margin of 6–8%, and CPO sales growth of 0–5%.

• PLDT expects successive records in FY26 service revenues and EBITDA, mid-P55bn capex and positive free cash flow; it targets net debt/EBITDA below 2.0x.

• Silangan targets process-plant commissioning completion in Q4 2026; Padcal mine life was extended to end-2028.

• Management cited resilient underlying businesses but a cautious outlook amid weaker exchange rates and Middle East conflict, while expressing confidence in business resilience and medium-term growth.