San Miguel Corp.’s subsidiary South Luzon Tollway Corp. said net income fell by 26 percent in the first quarter of the year due to travel restrictions during the enhanced community quarantine (ECQ).
SLTC said net profit amounted to P614.1 million in the January to March period, down from P831.3 million in the same period last year.
The company’s toll revenue reached P1.31 billion, lower by 15 percent from last year’s P1.54 billion mainly due to the decrease in traffic volume.
SLTC blamed the decline in traffic movement in SLEX to the ECQ in the National Capital Region and several provinces in Luzon last March 15.
Costs and expenses amounted to P463.76 million in the first quarter, down from P467.13 million in the same period last year.
SLTC in March last year started the construction of the 66.74-kilometer SLEX Toll Road 4 that would connect Sto. Tomas, Batangas to Lucena City, Quezon.
The toll road will shorten the travel time from Sto. Tomas, Batangas to Barangay Mayao in Lucena City from the usual three hours to just 45 minutes.
The new road is expected to boost economic activity through the faster transport and delivery of goods and services and cut vehicle volume along the busy Maharlika Highway, one of the main roads leading to the provinces of Laguna, Batangas, Quezon and the Bicol region.
SLTC also constructing the extension of South Luzon Expressway from Sto. Tomas, Batangas to Lucena City, Quezon.
San Miguel said the 66.74-kilometer South Luzon Expressway Toll Road 4 would significantly reduce travel time between the provinces south of Metro Manila.
The project is expected to be completed in three years or by 2021.
The toll road will be divided into six sections, namely Sto Tomas, Batangas to Makban in Laguna (11.32 km); Makban to San Pablo City (12.75 km); San Pablo to Tiaong in Quezon (7.5 km); Tiaong to Candelaria (15 km); Candelaria to Tayabas (10.21 km); and Tayabas to Lucena (9.96 km).
TR4 is a part of SLTC’s 30-year concession which will last until 2036.