the Outsider - PSE Points to Ponder

  In Philippine property, land is both a promise and a burden. For Sta. Lucia Land, Inc. , the promise remains vast: subdivisions, townhouses, condominiums, condotels, malls, and commercial estates spread across the archipelago. But in 2025, the burden became harder to ignore. The company’s annual results showed a developer still rich in assets, still geographically broad, still backed by a formidable sales network—but suddenly facing a colder real estate market. Revenue fell by about 23% , net income dropped by about 43% , and returns on equity nearly halved to 7.5% from 14.06% a year earlier. Sta. Lucia’s story has long been one of provincial reach. While bigger rivals crowded Metro Manila’s towers and master-planned townships, SLI dug into the country’s secondary cities and growth corridors. It has developed more than 12,000 hectares into over 300 projects across 13 regions and more than 70 cities and municipalities —a sprawling footprint that few Philippine developers can ...

The Lopezes are fighting over an empire whose operating assets sit far below them, while only a modest stream of dividends reaches the family apex. At first glance, the Lopez family quarrel looks like a fight over power: board seats, patriarchal authority, corporate succession, and the right to speak for one of the Philippines’ oldest business dynasties. Look closer, however, and it becomes something more modern and more uncomfortable: a fight over a pyramid whose jewels sit far below the family holding company, while the cash reaching the summit has become surprisingly thin. The latest spark is First Gen, the listed power producer under First Philippine Holdings and Lopez Holdings, where the family dispute has spilled over into allegations of a ₱50bn hydropower “premium” paid in connection with First Gen’s investment in Prime Infrastructure’s pumped-storage projects. The Lopez majority bloc has questioned the economics and disclosure of the deal; First Gen has responded that the final...

The company does not always own the label on the shelf. But it often supplies the materials, formulations, and factory know-how that help Philippine manufacturing move up the value chain. In the Philippines’ uneven march toward industrialization, the most interesting companies are not always the ones whose names appear on supermarket shelves. Some are hidden in the bill of materials. D&L Industries is one of them. It is not primarily a branded-food company, nor a consumer-products house in the conventional sense. It is better understood as a picks-and-shovels company for Philippine manufacturing : a supplier of fats, oils, oleochemicals, resins, plastic compounds, colorants, and additives, and a provider of contract manufacturing capacity that enables other companies to make more sophisticated goods. Its products sit quietly inside noodles, snacks, detergents, shampoos, plastic packaging, automotive components, paints, coatings, aerosols, and home-care products. The consumer may ne...

The supermarket group is scaling profitably after a burst of store openings and acquisitions—but supplier payments, inventory build-up, and advances drained operating cash. In Philippine retailing, growth is often bought with rent, inventory, and patience. In the first quarter of 2026, Puregold Price Club showed that it could buy growth without sacrificing margins—at least on the income statement. The supermarket operator reported net sales of ₱58.8bn , up 12.1% from a year earlier, while net income rose 23.7% to ₱3.26bn . Earnings per share climbed to ₱1.14 , from ₱0.92 . The arithmetic was flattering: sales grew briskly, but profits grew faster.  The improvement was broad-based. Gross margin rose to 20.1% , from 19.6% a year earlier. Operating margin improved to 8.1% , from 7.6% . Net margin rose to 5.6% , from 5.0% . For a grocer, where price competition is fierce, and cost inflation rarely sleeps, half a percentage point of gross-margin expansion is not trivial. Management cr...

Two Philippine property firms sell aspiration. One has turned it into a fast-growing urban village machine; the other into a quieter luxury balance sheet. In Philippine property law, “premium” is an elastic term. It can mean a marble lobby, a Makati address, a concierge, a mall with a better perfume cloud, or simply the ability to borrow billions without looking desperate. In the first quarter of 2026, Rockwell Land and Shang Properties offered two different definitions of the term. Rockwell looked like the more energetic builder: bigger, faster-growing, and more aggressive. Shang looked like the more patrician owner: slower, richer in equity, and cushioned by hotels, malls and trophy addresses. The numbers tell the first story plainly. Rockwell reported ₱6.455bn in consolidated revenue , up 45% from a year earlier, while net income rose to ₱1.433bn and income attributable to the parent climbed 67% to ₱1.291bn . Its growth came mainly from residential development, which supplied ₱...

  The Philippine ingredients maker has left its capex headache behind. Now comes the harder problem: selling more. For much of the past few years, investors in D&L Industries had a simple question: when would the Batangas plant stop consuming capital and start producing returns? In the first quarter of 2026, the answer became clearer. The new facility, once the centerpiece of a heavy investment cycle and a drag on financial ratios, has now logged its sixth consecutive profitable quarter . Capital spending, no longer the main strain on the balance sheet, has faded from the foreground. But business stories rarely end when construction does. With the plant finally contributing, a more prosaic but more important question has taken its place: can D&L grow revenues again? The company’s first-quarter results offered a study in contrasts. Net income rose 5% year on year to ₱716.7m , a respectable showing in a volatile environment. Gross margin improved to 13.4% , from 12.7% a year...