Mabuhay Holdings Corporation
Message from the Chairman and the President
2025 Annual Stockholders’ Meeting
On behalf of Mabuhay Holdings Corporation, we would like to welcome all our shareholders to this 2025 Annual General Meeting.
As you are aware, the international community has been in turmoil for the past few months since the global economy experienced serious and unexpected upheavals. President Donald Trump of the United States of America, which is the largest world economy and leader of international free trade, had launched the so-called “reciprocal tariff war” against its trading partners. The impulsive and fickle pronouncements of President Trump shocked and confused the community of nations. As a result, economists and financial experts have painted a gloomier outlook for the world economy, in the expectation that the imposition of heavy tariffs will undoubtedly reduce the economic growth of all nations and cause the worldwide inflation rate to increase significantly. The Chief Economist of the International Monetary Fund (IMF), commented that “the global economic system that has operated for the past 80 years is being reset”; the IMF has lowered its 2025 global output forecast to 2.8%, as compared to the 3.3% rate of 2024.
Due to the nature of its economic structure and trading patterns, the impact on the Philippine economy of the US tariff policy changes is not expected to be as severe as that on our Asean neighbors. The Philippine government and our business leaders have repeatedly expressed confidence that our economy is resilient enough to weather the volatility. However, we still have to expect some shock waves that will hit our economy as consequences of the US policy changes, such as the proposed increase of tariff on chips to be exported to the US and the tax to be imposed on outward remittances by the US government. Another worry for the Philippines is that per figures of our Bureau of Treasury, our sovereign debt had reached a historical high of 16.68 trillion Pesos as of the end of April this year. Despite all these, the Organization for Economic Co-operation and Development (OECD) expressed confidence that the Philippine economy will continue to be stable and growing, since our economy is depending heavily on local consumption. The forecast of OECD shows that the Philippines will register a GDP growth of 5.6% in 2025, and will increase to 6% the next year.
As for our company, the year 2024 saw a slight increase of the total assets due to the appreciation of our properties. However, the increase of our land value has been partially offset by the continuing depressed share price of Philippine Infradev Holdings, Inc., in which we still have substantial holdings. Our company registered a loss in 2024, since we had not started our new project and thus had no sustaining income. We envision that our housing project in Lipa City will commence towards the end of this year, as we are at present finalizing the documentation and groundwork of the project.
Aside from the affordable housing projects, the management team of Mabuhay Holdings Corp. will continue to endeavor to identify other investment opportunities to generate profits for our shareholders.
Once again, the members of the Board of Directors and the Management Team of Mabuhay Holdings Corporation would like to express their sincere gratitude to all our shareholders for your trust and support.
Atty. Roberto V. San Jose Esteban G. Peña Sy
Chairman President