Coming off a “fairly good” year, DMCI Holdings Inc., a diversified engineering conglomerate of the Consunji Family, is cautiously optimistic about the year ahead as the business climate remains volatile.

DMCI Holdings chairman and president Isidro A. Consunji reported to the stock exchange on Wednesday that the company’s performance this year could be affected by the combined effects of cooling inflation, stabilizing interest rates, China’s economic slowdown, and modest growth in the domestic energy market.

Nonetheless, he said he remains optimistic that “overall, the DMCI group (will) deliver another resilient performance this year.”  

Despite the global market uncertainties, volatile prices, and high-interest rates that characterized the year, Consunji still noted that 2023 was a relatively good year.

“We ended 2023 with all-time high coal shipments and off-grid energy sales.  Our sole operating nickel mine also posted record sales during the year. Slowing sales and manufacturing in China could keep a lid on commodity prices. With less demand and activity, we expect prices to be somewhat lower than last year,” Consunji said.

Ore exports up

Zambales Diversified Metals Corporation shipped 1.68 million wet metric tons, or WMT, of nickel ore from January to December, a 16 percent increase from 1.45 million WMT in 2022.

Meanwhile, interest rates in 2024 are expected to play a favorable role for the DMCI group.

Consunji believes that the government’s handling of infrastructure projects is a positive sign. Improved scheduling and payment processes for these projects are expected to speed up construction activities, which could have a ripple effect on various sectors of the economy.

In the real estate sector, particularly the mid-segment, he has seen signs of recovery.
“One of our projects, Solmera Coast, is doing extremely well.  In less than five months, we have sold out 74 percent of our launched units,” he added.
From January to September 2023, DMCI Holdings Inc. saw its consolidated net income decline by 28 percent from P27.63 billion to P20.01 billion.