SM Investments (SM) Q3 2025 earnings summary

Executive summary

• Resilient performance across core businesses, with results within expectations despite adverse weather and flooding.

• Net income attributable to owners rose 5.8% year-over-year to P64.4B on revenues of P482.3B, up 4.3% from the prior year.

• Retail contributed 66% of revenues and 19% of net income; property 15% of revenues and 29% of net income; banking 20% of revenues and 50% of net income; portfolio investments 7% of both.

• Optimistic outlook for Q4 maintained, even as economic growth moderates.

• Conservative gearing and strong balance sheet preserved.

Financial highlights

• Consolidated revenues reached PHP 482.3B, up 4.3% year-over-year; net income at PHP 64.4B, up 5.8%.

• Net income after tax reached P88.8B, up 5.6% year-over-year.

• EBITDA grew to P134.0B, with an interest cover of 8.6x.

• Total assets grew 4% to PHP 1,761.8B; equity increased 6.9% to P926.4B.

• Net debt to equity ratio at 31:69.

Outlook and guidance

• Q4 outlook remains optimistic despite tempered macroeconomic conditions.

• SM Prime targets P100B in CAPEX for 2025, with P59B already spent by Q3, focusing on malls, residential, hotels, and commercial developments.

• SM Retail plans to open 80-90 new stores in Q4 2025, mainly in food and specialty retail.

• Continued focus on core business growth and portfolio value creation.

• Expansion and investments in new ventures will continue as opportunities arise.