What are the Philippines’ largest companies? Maybe you are asking this question out of pure curiosity.
Or maybe you are one of the many people out there who are learning how to invest in the stock market for the very first time, and you’d like to know more about the companies whose tickers you’ve seen on the trading portal.
Or just maybe you are an aspiring entrepreneur and you are looking for aspirational stories of successful businesses.
Regardless, this article is going to discuss the companies and their stocks being traded on the Philippine Stock Exchange.
7 largest companies in the Philippines
Despite the coronavirus pandemic that caused difficulties on the lives of ordinary people and caused stress on the economy, seven Philippine companies are part of Forbes’ 2020 list of the 2000 largest companies in the world.
|1170||Top Frontier Investment Holdings|
|1388||JG Summit Holdings|
|1453||Metropolitan Bank & Trust|
The Sy-led companies SM Investment and BDO topped the list, ranking 707th and 937th respectively. They are followed by Top Frontier Investment Holdings (1,170th), Ayala Corporation (1,234th), JG Summit Holdings (1,388th), Metropolitan Bank & Trust (1,453th), and LT Group (1,873th).
Except for the Top Frontier Investment Holdings, the rest are of the blue chip stocks.
These companies account for $48.3 billion or ₱2.34 trillion in sales in the past year, raked in total profits of $4.175 billion or ₱202.28 billion, and had a combined total assets amount to $240 billion or ₱11.63 trillion.
All together, these seven companies have a combined market value of $49.53 billion or ₱2.39 trillion.
Retail giant SM and universal banking institution BDO in particular have a combined market value of $29 billion or ₱1.4 trillion.
Both companies, founded by the legendary Filipino-Chinese businessman Henry Sy and are today led by his heirs, are the only two Philippine-domiciled entities that reached the first half of Forbes’ prestigious ranking.
SM had $9.2 billion (₱445.65 billion) in sales, $860.7 million (₱41.69 billion) in profits, $22.6 billion (₱1.094 trillion) in assets, and a market value of $20.2 billion (₱978.49 billion).
On the other hand, BDO pulled in $4.3 billion in sales (₱208.29 billion), $860.7 million (₱40.704 billion) in profit, $64.6 billion (₱3.129 trillion)in assets, and valuation of $8.8 billion (₱426.27 billion).
Meanwhile, Top Frontier Investment Holdings is a holdings conglomerate with headquarters in Makati City, the corporation is into food, beverages, packaging, properties, and mining.
It earned $19.5 billion (₱944.58 billion) in sales, $207.4 million in profit, $36.2 billion (₱1.75 trillion) in asset, and market value of $930 million (₱45.05 billion).
It is the main shareholders of San Miguel Corporation, owning 65.989% of its outstanding common shares. Moreover, it owns 100% of Clariden Holdings, Inc., a corporation that is into “exploration, mining and development.”
Meanwhile, Ayala Corporation makes it to the list ranked 1234th. Owned by the influential and prominent Zobel de Ayala family, it is considered the oldest and largest business in the country.
The company has a diversified interests spanning across different industries, including business process outsourcing, information technology, retail, education, banking, properties healthcare, telecommunication, just to name a few.
The company raked in $5.10 billion in sales (₱247.04 billion), $681.30 million (₱33 billion) in profit, $26.60 billion (₱1.288 trillion) in assets, and market value of $7.20 billion (₱348.77 billion).
JG Summit Holdings Inc. is the flagship conglomerate of the prominent family of the late businessman John Gokongwei. The company holds interests in various lines of business including real estate, telecommunication, transportation, and manufacturing.
It earned total profit of $5.60 billion (₱271.26 billion) in sales, $604.20 million (₱29.267 billion) in sales, $18.40 billion (₱891.30 billion) in asset, and valuation of $7.20 billion (₱348.77 billion).
Another bank earned its place in the ranks. Metropolitan Bank & Trust secured the spot at 1453th. Founded by George Ty in 1962, its headquarter is in Makati City, the country’s financial hub.
As the second largest bank, it offers various banking products for its consumer and corporate clients including insurance, investment banking, mortgage loans, mutual funds, wealth management, credit cards, and finance lease.
According to the Forbes list, the company reported $2.80 billion (₱135.63 billion) in sales, $533.50 million (₱25.84 billion) in profits, $46.70 billion (₱2.26 trillion) in assets, and $3.50 billion (₱169.54 billion) market valuation.
Making it to the list is the LT Group of billionaire and business magnate Lucio Tan. It is a holdings company with businesses in banking, real estate, beverages, and tobacco.
The report showed that the company had $1.80 billion (₱87.19 billion) in sales, $447.90 million (₱21,69 billion) in profit, $25 billion in asset (₱1,21 trillion), and $1.70 billion (₱82.35 billion) in market valuation.
How to invest in the Philippine company stocks?
So how exactly do you buy and profit from the businesses of these corporations?
The table above provides all the eligible, publicly-listed companies whose shares can be acquired (or sold) with the expectation of gaining from their growth story. You can see
You can start trading stocks by investing in the stock market. You just have to open an account with a stock broker. For full discussions, you can read “Buying PH stocks: how to invest in stock market.“
- Forbes. https://www.forbes.com/global2000/#2ac49d6c335d
- Manila Times. https://www.manilatimes.net/2020/11/09/business/columnists-business/top-frontier-is-smcs-majority-stockholder/793713/
- Philippine Stock Exchange. https://edge.pse.com.ph/