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MacroAsia Corp.’s net income jumped 28% to P1.37 billion in 2024 from P1.07 billion in 2023, driven largely by surging revenues across its businesses
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Food services and in-flight catering rose 11% to P4.403 billion while ground handling and aviation services posted a 33% revenue growth to P4.172 billion supported by a 5% rise in flights handled
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While revenue growth is expected to maintain a similar momentum as last year, MacroAsia said it remains cautious of potential cost pressures driven by external factors
MacroAsia Corp.’s net income jumped 28% to P1.37 billion in 2024 from P1.07 billion in 2023, driven largely by surging revenues across its businesses.
Net income attributable to equity holders likewise grew 32% to P1.12 billion from P851.10 million, MacroAsia said in a statement.
Total revenues hit a record high of P9.442 billion in 2024, 18% higher than the previous year’s P7.997 billion.
MacroAsia said the growth reflects the company’s continued expansion and robust operational execution across its key business segments.
Food services and in-flight catering contributed 47% of total revenues, rising 11% to P4.403 billion fueled by a 4% increase in meal count, from 22.77 million to 23.70 million meals.
Ground handling and aviation services posted a 33% revenue growth, reaching P4.172 billion. This increase was supported by a 5% rise in flights handled, totaling 189,318. This also includes the 42% revenue boost to P84.8 million from First Aviation Academy, reflecting its expanded training programs.
Water operations likewise grew 21% to P748.6 million, driven by a 6% increase in commercial water sales.
Connectivity and technology services contributed P62.4 million, stemming from completed infrastructure projects.
Administrative revenues grew by 21% to P56.2 million, largely due to increased lease income in Mactan, Cebu.
Total direct costs increased by 14% to P7.109 billion, in line with the company’s expanding business activities. Operating expenses also rose by 28% to P1.391 billion, driven by lease rate adjustments and higher operational expenditures.
A stronger performance from associate companies also boosted profitability. MacroAsia’s share in net earnings from associates rose to P731.5 million, marking an increase of P154.8 million.
Key contributors included Lufthansa Technik Philippines, which posted P585.2 million in net income, benefitting from stronger maintenance, repair, and overhaul operations.
Cebu Pacific Catering Services reported P30.2 million in net income, a significant jump from P7 million in 2023, fueled by a 97% surge in meal count.
Narita-based Japan Airport Service Co. also achieved a remarkable turnaround, delivering P106.1 million in net income, reversing a P3.6 million loss from the prior year.
“MacroAsia’s performance in 2024 highlights our ability to adapt and thrive in a dynamic business landscape,” said Eduardo Luis Luy, MacroAsia president and chief operating officer.
“As demand in aviation and food services continues to rise, we remain committed to expanding our footprint and enhancing operational efficiencies even beyond airports,” Luy added.
Looking ahead, MacroAsia said it is committed to enhancing its market presence and optimizing its operations to drive long-term, sustainable growth across aviation, food services, and related industries.
As the company enters 2025, it remains confident in maintaining its upward trajectory, with anticipated revenue growth fueled by its expanding aviation services, food business, and water concessions.
While revenue growth is expected to maintain a similar momentum as last year, MacroAsia said it remains cautious of potential cost pressures driven by external factors. The company has secured new airline clients at Ninoy Aquino International Airport (NAIA), including Air Canada and Air India, further strengthening its aviation services portfolio.
In the long term, MacroAsia said the privatization of NAIA operations starting in September 2024 is anticipated to increase flight volumes and passenger traffic, as enhanced airport infrastructure boosts capacity and efficiency.
It noted, however, that the recently implemented Manila International Airport Authority order on leases and fees has raised the cost of doing business at NAIA. While these increases are often passed on to clients and passengers, MacroAsia said a significant rise in travel costs could impact overall demand.
The lease for the economic zone where LTP operates is also set for renewal in 2025, with an expected increase in lease rates. The lease contract of MacroAsia with the airport authority provides that the period of lease shall be effective for a period of 25 years commencing on September 01, 2000 and renewable for another 25 years thereafter at the option of the lessee subject to such terms and conditions as maybe mutually agreed upon by both parties. As an export enterprise, LTP primarily serves international airlines that do not operate commercially in the Philippines, meaning they do not directly benefit from NAIA’s capacity enhancements. Given this, MacroAsia Properties, as a Philippine Economic Zone Authority developer, and LTP, as a PEZA locator, are actively engaging with authorities to negotiate the terms of the ecozone renewal, ensuring continued operational viability and competitiveness.
Beyond the airport, MacroAsia’s joint venture with Singapore-based SATS Ltd. is expanding its commissary operations, with a facility extension that will double production capacity by 2027.
MacroAsia said this expansion reinforces the company’s commitment to meeting the growing demand for high-quality food services of institutional non-airline clients.
Outside Metro Manila, MacroAsia is developing key water infrastructure projects, including water treatment facilities in Bacolod and Poro Point, La Union, as well as one of the largest desalination plants in Lapu-Lapu City, Cebu. These projects are expected to begin generating revenue by 2026 or earlier, further diversifying the company’s revenue portfolio mix as part of the topline resiliency drive through MacroAsia’s presence in essential utilities.
READ: MacroAsia net income up 72% to P337M in Q1
