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MacroAsia Corporation reported a consolidated net income of P546.5 million in the first half of 2026, down 29.7% from P777.1 million in the same period last year
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Consolidated revenue grew 9% to P5.26 billion, supported by continued growth in food services, ground handling and aviation support, and water operations
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For the second quarter, consolidated net income increased by approximately 93% to P359.9 million, driven primarily by the recovery in share in net earnings of associates, particularly Lufthansa Technik Philippines
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For the rest of 2026, MacroAsia will focus on improving operating margins through customer rate adjustments and recovery of higher airport-related costs, and supply-chain initiatives, among others
MacroAsia Corporation reported a consolidated net income of P546.5 million in the first half of 2026, down 29.7% from P777.1 million in the same period last year.
Consolidated revenue grew 9% to P5.26 billion in the first six months of the year from P4.81 billion in the same period last year, supported by continued growth in food services, ground handling and aviation support, and water operations.
Net income attributable to equity holders of the parent amounted to P449.6 million, a 33.9% decline from P679.7 million last year.
MacroAsia in a statement said first-half profitability reflected higher direct and operating costs associated with increased business activity, inflationary pressures and higher airport-related costs, together with lower equity earnings from associates, principally aviation maintenance, repair and overhaul (MRO) firm Lufthansa Technik Philippines, Inc. (LTP).
For the second quarter of 2026, consolidated net income increased by approximately 93% to P359.9 million from P186.6 million in the first quarter. The quarter-on-quarter improvement was driven primarily by the recovery in share in net earnings of associates, particularly LTP. Margins of the group’s consolidated operating businesses, however, continued to reflect higher manpower, airport-related and other operating costs.
Direct costs in the first half of the year increased 13% year-on-year to P4.22 billion. As costs grew faster than revenues, consolidated gross profit declined 2% to P1.05 billion.
Operating expenses increased 13% to P852 million, reflecting higher business volumes and increased manpower, lease and other operating requirements.
Share in net earnings of associates amounted to P456.1 million, 25% lower than P611 million in the first half of last year. LTP remained the largest associate contributor, generating MacroAsia’s equity share of P411.2 million, compared with P537.8 million in 2025. The decline principally reflected higher lease costs and expenses associated with the discontinuance of LTP’s line-maintenance operations.
Food services remained the group’s largest revenue contributor, generating P2.63 billion, or approximately 50% of consolidated revenues for the first half of the year, representing a 12% year-on-year increase. Growth was supported by higher meal volumes and the continued expansion of institutional and non-airline food services.
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Ground handling and aviation services generated P2.25 billion, accounting for approximately 43% of consolidated revenues, an increase of 8% from the comparable period. Flight-handling volume increased by approximately 2% despite cancellations affecting certain Middle East routes.
Water operations, meanwhile, recorded P369 million in revenues. Billed water volume increased by approximately 15% year-on-year, supported by continued expansion across the group’s water operations.
MacroAsia said it continues to diversify its revenue base beyond aviation through institutional food services, water infrastructure and other adjacent businesses.
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“MacroAsia continued to generate revenue growth across its key operating businesses during the first half of 2026, notwithstanding higher operating costs and the impact of lower associate earnings on first-half profitability,” president and chief operating officer Eduardo Luis Luy said.
“For the balance of the year, our priorities are to improve margins through cost recovery and operating efficiencies, strengthen cash conversion and maintain disciplined execution of our growth investments,” Luy added.
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For the rest of 2026, MacroAsia said its management will focus on improving operating margins through customer rate adjustments and recovery of higher airport-related costs, productivity improvements, supply-chain initiatives and tighter management of manpower and other operating expenses.
Management will likewise prioritize cash generation and liquidity, with increased emphasis on collections, working-capital discipline and the prudent phasing and financing of capital expenditures.
The group will continue to execute its diversification and growth initiatives across food services, aviation support, MRO, water infrastructure and shared services. Major projects will continue to be evaluated and funded with consideration for their expected operating cash flows, project timelines and the group’s overall leverage and liquidity position, MacroAsia said.
