Premiere Horizon posts 55% profit jump in 2020, incurs loss in Q1

PREMIERE Horizon Alliance Corp. posted a 55% income growth to P110.04 million in 2020 from P71.2 million in the previous year as its revenues grew.

In a regulatory filing on Tuesday, the company reported that revenues for the year amounted to P722.54 million, 71% higher than its 2019 topline of P423.66 million.

Premiere Horizon said 2020 was its “turnaround year.”

The business group of Marvin dela Cruz, who also owns the majority of SquidPay Technology, Inc., bought 55% ownership of the company for P925 million. A P300-million cash payment has been settled, while the balance of P625 million will be paid in cash or SquidPay shares.

Premiere Horizon said it also received approval from the Securities and Exchange Commission for the increase in its authorized capital stock to P1.5 billion, composed of 6 billion common shares priced at 25 centavos each, from P563.56 million with 2.25 billion common shares priced at 25 centavos apiece.

The capital increase allows the company to proceed with its fold-in with SquidPay, which is set to be completed by the third quarter.

“Common shares are now available for the debt-to-equity conversion of the convertible note holders which will consequently retire a minimum of P354 million of liabilities equivalent to more than 21% of the liabilities of the parent company,” Premiere Horizon said in a separate disclosure.

The increase in authorized capital stock will allow a planned stock rights offer for all existing shareholders, it added.

Meanwhile, the company incurred a P12.39 million loss in the January-to-March period this year, 69% lower than the P39.41-million loss in the same period in 2020.

Premiere Horizon said the loss was due to several lockdowns imposed, resulting in the delay of the launch of some of its projects. The company said it expects its performance to improve by the second half of the year.

Its topline for the quarter, however, saw a 69% growth to P102.84 million from P60.95 million.

Premiere Horizon reported that the mining activities of subsidiary Premiere Georesources and Development, Inc. are scheduled to resume in the second quarter, the start of the mining season.

Goshen Land Capital, Inc., the company’s real estate firm based in north Luzon, will also be launching a vertical project in Baguio City.

Meanwhile, its tourism business West Palawan Premiere will open a beachside residential project in Puerto Princesa City.

On Tuesday, shares of Premiere Horizon went down by 1.61% or three centavos to close at P1.83 each. — Keren Concepcion G. Valmonte