The Philippine Stock Exchange Index (PCOMP) fell 0.3 percent to 5,022.29, the lowest close since March 13.
Alliance Global Group Inc. (AGI) sank 2.8 percent to 11.88 pesos, the lowest close since March 12, as its casino unit Travellers International Hotel Group missed earnings estimates, according to Alex Pomento, an analyst at Macquarie Group Ltd.
Travellers International Hotel Group, a joint venture of Alliance Global and Genting Hong Kong Ltd., posted a 57 percent increase in profit to $112.9 million last year, the Philippine Star reported, citing documents filed with the Hong Kong Stock Exchange. Alliance President Kingson Sian couldn’t be reached at his office for comment.
“Some investors are frustrated with the weak results of Travellers,” Pomento said. “Market consensus was for profit to be at around $140 million.”
GMA Network Inc. (GMA7) (GMA7 PM), the nation’s second-largest broadcaster, added 3.4 percent to 9.10 pesos, the most since Feb. 22. President Gilberto Duavit said 2012 profit may rise to 2.8 billion pesos ($65.4 million), boosted by an expected “double-digit growth” in advertising spending. The company said profit slid 39 percent to 1.71 billion pesos last year.
PAL Holdings Inc. (PAL) , owner of Philippine Airlines Inc., sank 3.6 percent to 7.99 pesos, the sharpest loss since March 12, on speculation a plan by the carrier to spend up to $1 billion on a refleeting program may involve a share sale.
Philippine Air plans to modernize its fleet, San Miguel Corp. (SMC) President Ramon Ang said in a mobile-phone text message. San Miguel agreed to buy 49 percent stakes in Philippine Air and low-cost affiliate Air Philippines Corp.
“Given the big size of the planned investment, PAL Holdings might hold a share sale to fund part of it,” said James Lago, head of research at PCCI Securities Brokers Corp. “That could dilute earnings per share.”
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