MacroAsia Corporation Reports Solid Earnings Growth in H1 2025

MacroAsia Corporation (PSE: MAC), a leading provider of aviation support services, reported robust earnings growth for the first half of 2025, underscoring the strength and resilience of its diversified operations.

​Consolidated net income rose 15% to P771.10 million from P669.78 million excluding one-off revenue items in 1H 2024. This 1H2025 net income of P777.10 million is 8% lower than the reported financial results in 2024 amounting to P849.10 million, as said period was boosted by revenue items pertaining to prior period transactions.

“Our operations continue to deliver strong results, supported by sustained growth across aviation, food, and water segments, as well as higher earnings from associates,” said MacroAsia President and COO Eduardo T. Luy.

Financial Performance Highlights

• Revenue Growth – Consolidated revenues climbed 9% to P4.81 billion in 1H 2025, driven by higher demand across aviation services, institutional food accounts, and water concessions. Second quarter revenues reached P2.46 billion, reflecting the company’s expansion beyond its traditional aviation base.

• Earnings from Associates – Share in net earnings from associates surged 75% to P611.0 million from P349.7 million in the prior year, led by:

o Lufthansa Technik Philippines (LTP) – YTD net income of P1.10 billion, with MacroAsia’s 49% share amounting to P537.8 million
o Japan Airport Service Co., Ltd. – P52.6 million net income share of MAC
o Cebu Pacific Catering Services – P20.7 million net income share of MAC

• Non-Aviation Businesses – Revenues from water operations rose 7% to P364.0 million, with non-aviation businesses contributing 23% of group revenues, supported by growth in institutional food service accounts and water concessions.

Balance Sheet and Expansion (As of June 30, 2025):

• Total Assets – P15.36 billion, up 15% from P13.42 billion as of December 31, 2024, driven by higher operating cash flows and capital expenditures for expansion.

• Total Liabilities – P7.18 billion, up 23% due to long-term borrowings for:

o Seawater Desalination Plant Project in Lapu-Lapu City via CSWater Lapu-Lapu, Inc. (15 MLD Punta Engaño facility and 500 CMD Olango Island plant)
o Ground handling equipment and land acquisitions to support business growth in major airports in the Philippines (MAC’s groundhandling unit operates in 22 airport locations).

• Debt-to-Equity Ratio – at a healthy 0.27. Both the Parent and the Group remain in a net cash position.
• Equity – P8.18 billion, up 8% from year-end 2024; equity attributable to parent up 6.1% to P7.50 billion, boosted by net income booked in retained earnings.

Outlook and Strategic Direction

MacroAsia enters the second half of 2025 with a strong balance sheet and diversified revenue base, supported by:

• Anticipated growth in passenger volumes following NAIA privatization in September 2024, despite higher MIAA lease and fee structures
• Ongoing negotiations for the renewal of MacroAsia’s PEZA ecozone lease in NAIA where LTP is a locator, which will likely result into higher rental costs for the ecozone and LTP.
• Continued expansion of non-airline food services and water concessions for revenue resiliency:

Ø More than doubling of commissary capacity with the ongoing facility construction in Muntinlupa which will be completed by 2027 through the SATS (Singapore) joint venture, positioning further growth in the food business for institutional clients outside of the airport
Ø Development of major water projects in Bacolod, Poro Point (La Union), and one of the country’s largest desalination plants in Lapu-Lapu City, expected to start contributing revenues by late 2026