It is against these conditions that our business units were able to realize a formidable performance in 2022. FDC reported a net income attributable to equity holders of the parent company of P5.7 billion in 2022, driven by a robust topline growth. Revenues and other income rose by 13 percent to P71.1 billion resulting from a recovery across all the major businesses. Together with the cost containment efforts, EBITDA expanded by 5 percent to P21.0 billion. The slight miss in net income from the P6.1 billion of the previous year was only because of the 153 percent higher provision for income tax due to the one-time tax benefit arising from the CREATE law in 2021 for the real estate subsidiaries.
FDC’s banking and financial services subsidiary, EastWest Bank (EW), delivered a net income contribution to the group of ₱4.4 billion in 2022, higher than the ₱4.3 billion in 2021. EW generated a net income surge of 42 percent in 2022 not considering the one-time gain from the sale of its hold-to-collect investments in 2021. This growth was driven by the improvement in core revenues brought about by the build-up of fixed-income securities and the increase in loan releases during the second half of 2022. The steady increase in the levels of loans and securities has increased the earning capacity to almost back to pre-pandemic levels.
The real estate business likewise recovered with the resumption of construction activities and the launch of new projects in 2022. FDC’s real estate business, composed of listed subsidiary Filinvest Land, Inc. (FLI) and Filinvest Alabang, Inc. (FAI), contributed ₱4.9 billion in net income before tax to the group in 2022, 15 percent higher than the ₱4.3 billion in the previous year. Revenues from the residential segment rose by 11 percent to ₱13.3 billion as a result of construction progress. Mall and rental revenues saw an improvement of 15 percent to ₱6.7 billion with the gradual reduction of rental concessions, reinstatement of escalation rates and increased mall occupancy levels. Net income after tax from the real estate business hit ₱4.1 billion.
The power subsidiary, FDC Utilities, Inc. (FDCUI), contributed a net income of ₱2.2 billion in 2022 which is equivalent to a 6 percent improvement from the previous year. The net income growth was on the back of revenues that rose by 37 percent to ₱12.9 billion. The Retail Electricity Supply business was also able to increase its contracted capacity by 7.5 MW despite a very competitive and challenging environment.
Unsurprisingly, the hospitality business also benefited from the reopening of the economy. Hotel operations under Filinvest Hospitality Corporation (FHC) saw a rebound in revenues of 60 percent to ₱1.9 billion in 2022 buoyed by the steady resurgence of tourism. Average room rates increased across the seven properties while occupancy rates were higher for Crimson Boracay as well as Quest in Cebu and Tagaytay.
FDC ended 2022 with total assets of P687.6 billion and consolidated equity of P165.7 billion, up by 2 percent and 3 percent respectively. FDC remains to be among the country’s top 10 publicly listed conglomerates in terms of asset size, based on most recent available data. FDC has adequate resources to pursue growth opportunities having a comfortable debt to-equity ratio of 0.83:1. Of total debt, 92 percent is in local currency while the balance is fully hedged hence the group has no foreign currency exposure. Prudent financial management allowed us to lock in our loans earlier, cushioning us from the sharp spike in interest rates in 2022.
The last decade was a foundational and capacity building decade for FDC as a parent company of the many subsidiaries under the Filinvest group. We witnessed a decade of strong growth registering a compounded annual growth rate (CAGR) of 19 percent and 21 percent in terms of revenues and net income, respectively, from 2009 to 2019. This was unfortunately interrupted by a crisis of unexpected proportions. The COVID-19 pandemic proved once again our survival instinct.
History will show that we used the time of the pandemic to our advantage. It gave us a breather to stop, rethink and reorganize.
Coming from the throes of this period, this decade will be built on new leadership capabilities in both FDC and across the subsidiaries. We look upon the next decade as one of transformation and change - led by younger leadership, formed by new mindsets, inspired by ESG goals, and facilitated by the new digital world.
We welcomed key executives to occupy the most senior posts in our subsidiaries in 2022 as a signal of change. In EastWest Bank, a new leadership team was formed with the appointment of Jerry Ngo as CEO and the promotion of Jacqueline Fernandez to President. Their joint task is to bring EW’s financing products to the next level. In FLI, the position of President was handed over to Tristan Las Marias, an organic and veteran talent who has steered FLI towards greater heights with his contribution to FLI’s growth in the Visayas and Mindanao region, and later in Luzon.
The new leadership, supported by Filinvest’s wide ranging capacities and resources, lays solid ground for growth in the coming decade.
For our engines, we have an extensive residential land bank of 1,866 hectares and commercial land bank which can produce 1.2 million square meters gross leasable area going forward. This will provide the fuel to grow and ensure the continuity of the property business.
Our investments in the Clark Corridor, where we have first mover advantage, have regained traction. In 2022, the Industrial and Logistics unit of FLI held a groundbreaking ceremony in New Clark City for its ready-built facilities while the newest co-living facility, The Crib, started its operations within the Mimosa complex. Both present new business models for the Filinvest group.
The newly refurbished Mimosa Plus Golf Course clubhouse under FHC opened its doors to its guests. The Clark International Airport (CRK), which supports our businesses in Clark, also unveiled a new terminal building in 2022. FDC is the lead consortium member, with a 42.5 percent participation, in Luzon International Premier Airport Development Corporation (LIPAD) that has secured the O&M concession for the new eight-million passenger terminal of the Clark International Airport. This, together with the line-up of hotel projects in Baguio, Mactan, Bohol and five other major tourist destinations, will benefit from the expected growth in the tourism sector.
Under the leadership of Juan Eugenio Roxas, FDC Misamis, with its existing 161 megawatts (MW) available capacity, will provide an opportunity for income growth as it is seen to greatly benefit from the Mindanao-Visayas grid connection slated in June 2023, and cushion the power shortage expected in the Visayas and Luzon regions. On top of this, we secured several wins in 2022. The joint venture business with Engie Services Philippines won a 10-MW project, thus expanding our renewable energy business. FDCUI, in close coordination with the Cotabato sugar plant, also won a 3.4-MW biomass contract under the government's Green Energy Auction Program.
We have transformed FDC to support the growth of our subsidiaries in the areas of mergers and acquisitions, talent management, financial and risk management, customer centricity and digital innovation.
We are pleased to have crafted a sustainability framework that will guide us in our journey. This is something that has meaning for us and is aligned with our mission, our history, and what we have strived to accomplish in the recent past. We will put the focus of our sustainability efforts on three main areas: being green, being inclusive and being resilient. This framework challenges us to be on our toes and to be always ready for what the future brings.
We look forward to 2023 with reasonable optimism as we take on new growth opportunities. We will maintain our strategic direction towards establishing synergies across our different business units and explore new but allied to the segments where we are currently invested in. We will strive for continued growth and value creation, anchoring ourselves on the strong foundation we have built over the years.
As we chart a new path for the evolution of FDC, we thank our fellow board of directors, management and all our employees for the malasakit and work ethic that make our plans a reality. We also thank our shareholders, partners, and customers for the continued trust and support. Your faith gives us the confidence to expand the legacy that was built by our founders – our parents, Andrew and Mercedes Gotianun - many decades ago. We will carry on with our purpose of empowering Filipinos to attain their dreams.