MacroAsia Corp. rode the continued recovery in air travel and strong demand across its catering and water units to post a 14 percent jump in net income to P1.16 billion in the first nine months of the year.

The Lucio Tan-led aviation services and food group said Thursday the growth was based on normalized figures that excluded one-off gains in 2024, when net income stood at P1.02 billion. 

Consolidated revenues during the nine-month period rose 6 percent to P7.41 billion, or up 10 percent on a normalized basis from P6.7 billion last year.

Higher volumes 

MacroAsia said the improvement was anchored on higher volumes from its airline catering, ground handling, and water services businesses, which benefited from steady recovery in travel demand and the expansion of institutional accounts.

Ground handling and aviation services revenues grew 16 percent to P1.04 billion, while in-flight and other catering rose 8 percent to P1.20 billion. 

Water distribution revenues edged up 1 percent to P174.9 million, and administrative fees surged to P159.8 million from P13.5 million, reflecting lease and service arrangements recognized during the quarter.

Aviation-related businesses accounted for about 78 percent of total revenues from January to September.

Total direct costs and expenses increased by 22 percent to P2.11 billion, primarily due to higher business activity, increased material costs and mandated wage adjustments. 

Despite these pressures, MacroAsia kept a 19 percent gross margin, with operating expenses up to P408.4 million.

Challenges remain 

MacroAsia noted that inflation, foreign exchange volatility and weather-related logistical challenges remain, but said that it “expects no major movement in full-year profitability.”

As of September, total assets expanded 21 percent to P16.18 billion, while equity increased 14 percent to P8.59 billion.