Lopez Holdings Corporation is a holding company invested in leading Philippine corporations: ABS-CBN Corporation, the country’s largest multimedia conglomerate (ABS-CBN) and First Philippine Holdings Corporation (FPH), which has investments in sustainable energy development, infrastructure, property development and green manufacturing. Lopez Holdings, ABS-CBN, and FPH are listed in the Philippine Stock Exchange.
Lopez Holdings received a total of P803 million in cash dividends from its investees in 2015: P295 million from ABS-CBN and P508 million from FPH. This compares with P801 million in cash dividends received in 2014: P293 million from ABS-CBN and P508 million from FPH; and P942 million in cash dividends received in 2013: P179 million from ABS-CBN and P763 million from FPH.
Lopez Holdings declared a cash dividend of P0.10 per share in 2015 and 2014, and P0.125 per share in 2013.
Lopez Holdings reported P6.191 billion in net income attributable to equity holders of the Parent for the year 2015. This is 65% higher than the P3.760 billion in net income attributable to equity holders of the parent reported in 2014. The partial recovery of impairment losses related to its erstwhile telecom unit accounted for the favorable results.
On July 21, 2015, Globe Telecom, Inc. (Globe) agreed to buy from Bayan Telecommunications Holdings Corporation (BTHC) and Lopez Holdings all the equity in the capital stock of Bayan Telecommunications, Inc. (“Bayan”) held by BTHC and Lopez Holdings, valued at P1.83 billion (the Transaction). This followed the conversion of Bayan debt into equity provided under the August 27, 2013 resolution of Bayan’s Rehabilitation Court, which was approved by the National Telecommunications Commission on July 2, 2015.
The Lopez Holdings board approved the Transaction on July 9. Partial recovery of impairment losses amounted to P1.8 billion, net of related expenses.
Lopez Holdings took advantage of the stock market weakness in August 2015 to increase its stake in FPH by buying more common shares in the open market. At the same time, privately-held parent company, Lopez, Inc., bought more Lopez Holdings shares during the market lull.
Lopez Holdings offered a special separation package for redundant employees effective September 1, 2015, reducing its workforce by 25%.
Consolidated revenues for the period eased by 3% year-on-year to P96.510 billion from P99.191 billion.
As of December 31, 2015, the company had US$10 million and P26 million in direct obligations, compared to end-2014 debt levels of US $23 million and P1.126 billion. On a consolidated basis, total liabilities stood at P214.415 billion at yearend-2015 versus P209.157 billion at yearend-2014.