SEC Form 20-IS - iRemit Global Remittance

million as of March 31, 2012, a decrease of PHP 2.0 million or -1.8% against PHP 111.0
million as of March 31, 2011. Receivables decreased by PHP 387.8 million or -31.0% from
PHP 1.252 billion as of March 31, 2011 to PHP 864.6 million as of March 31, 2012. Other
current assets decreased by PHP 2.7 million or -15.1% from PHP 17.9 million as of March 31,
2011 to PHP 15.2 million as of March 31, 2012. Investments in associates decreased by PHP
2.9 million or -13.6% from PHP 21.6 million as of March 31, 2011 to PHP 18.6 million as of
March 31, 2012. Property and equipment-net decreased by PHP 4.8 million or -17.0% from
PHP 28.1 million as of March 31, 2011 to PHP 23.3 million as of March 31, 2012. Goodwill
decreased by PHP 1.5 million or -1.6% from PHP 94.5 million as of March 31, 2011 to PHP
93.0 million as of March 31, 2012 due to foreign exchange adjustment. Deferred tax asset
increased by PHP 1.9 million or 36.5% from PHP 5.3 million as of March 31, 2011 to PHP 7.2
million as of March 31, 2012. Software costs–net decreased by PHP 1.0 million or -38.8%
from PHP 2.6 million as of March 31, 2011 to PHP 1.6 million as of March 31, 2012. Other
noncurrent assets decreased by PHP 2.3 million or -5.4% from PHP 43.1 million as of March
31, 2011 to PHP 40.8 million as of March 31, 2012.
Total liabilities decreased by PHP 313.0 million or -25.0% from PHP 1.250 billion as of March
31, 2011 to PHP 937.9 million as of March 31, 2012. Current liabilities decreased by PHP
312.4 million or -25.0% from PHP 1.250 billion as of March 31, 2011 to PHP 937.8 million as
of March 31, 2012 mainly due to the decrease in beneficiaries and other payables by PHP
229.8 million or -43.1 from PHP 533.2 million as of March 31, 2011 to PHP 303.4 million as of
March 31, 2012 as well as to interest-bearing loans by PHP 83.0 million or -11.8 from PHP
701.0 million as of March 31, 2011 to PHP 618.0 million as of March 31, 2012. Interestbearing
loans consist of unsecured, short-term peso-denominated loans from various local
financial institutions with interest rates ranging from 5.0% to 6.75% per annum in First Quarter
2012 and 5.0% to 6.0% in First Quarter 2011.
Accounts payable and other liabilities decreased by PHP 229.4 million or -41.8% to PHP
319.8 million as of March 31, 2012 compared with PHP 549.2 million as of March 31, 2011.
Comprising accounts payable and other liabilities are payables to beneficiaries of PHP 232.9
million, payables to agents, couriers and trading clients of PHP 34.6 million, accrued
expenses of PHP 17.2 million, withholding tax payable of PHP 2.2 million, advances from
related parties of PHP 12.2 million, income tax payable of PHP 16.4 million, payables to
government agencies of PHP 1.4 million, and other non-trade payables of PHP 2.9 million.
Noncurrent liabilities amounting to PHP 0.12 million as of March 31, 2012 consist of
retirement liability of PHP 0.09 million and deferred tax liability of PHP 0.03 million.
The Company’s stockholders’ equity as of March 31, 2012 stood at PHP 1.387 billion, higher
by PHP 100.6 million or 7.8% against the March 31, 2011 level of PHP 1.286 billion due to
higher net income and stock dividend.
The Bangko Sentral ng Pilipinas reported last month that money transfers by overseas
Filipinos grew by 5.8% to USD1.587 billion in February 2012 from USD1.5 billion a year
earlier. On a year-to-date basis, the total remittance inflows amounted to USD3.144 billion in
January to February of 2012, growing by 5.6% against the inflows of USD2.977 billion in the
first two (2) months of 2011. The continued inflow of remittances is supported by the
sustained demand for Filipino manpower in various foreign labor markets. The Philippine
Overseas Employment Administration (POEA) recently announced that it expects over a
million highly skilled Filipino workers would be hired abroad this year. The latest data from the
POEA showed that for the period January-March 2012, job orders for professional and
technical, service and production workers increased 24.6% to 200,010 compared with the
same period last year. These are mainly intended for employment opportunities in Saudi
Arabia, United Arab Emirates, Qatar, Taiwan, Kuwait, Singapore and Hong Kong, among
others.
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