SEC Form 20-IS - iRemit Global Remittance

Total liabilities increased by PHP 25.2 million or 2.8% from PHP 912.7 million as of December 31, 2011 to
PHP 937.9 million as of March 31, 2012. Total liabilities as of March 31, 2012 and December 31, 2011 are
40.3% and 40.1% of the total liabilities and equity as of March 31, 2012 and December 31, 2011, respectively.
Current liabilities increased by PHP 25.2 million or 2.8% from PHP 912.6 million as of December 31, 2011 to
PHP 937.8 million as of March 31, 2012 mainly due to the increase in Beneficiaries and other payables by
PHP 63.3 million or 26.4% from PHP 240.0 million as of December 31, 2011 to PHP 303.4 million as of March
31, 2012. Interest-bearing loans decreased by PHP 48.0 million or -7.2% from PHP 666.0 million as of
December 31, 2011 to PHP 618.0 million as of March 31, 2012. Interest-bearing 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 7.0% in 2011. Total current liabilities as of March
31, 2012 and December 31, 2011 are 40.3% and 40.1% of the total liabilities and equity as of March 31, 2012
and December 31, 2011, respectively.
Accounts payable and other liabilities increased by PHP 73.2 million or 29.7% to PHP 319.8 million as of
March 31, 2012 compared with PHP 246.6 million as of December 31, 2011. Accounts payable and other
liabilities as of March 31, 2012 and December 31, 2011 are 13.8% and 10.8% of the total liabilities and equity
as of March 31, 2012 and December 31, 2011, respectively. 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 26.2
million or 1.9% against the year-end 2011 level of PHP 1.361 billion due to higher net income. Total
stockholders’ equity as of March 31, 2012 and December 31, 2011 are 59.7% and 59.9% of the total liabilities
and equity as of March 31, 2012 and December 31, 2011, respectively.
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.
Below are the comparative key performance indicators of the Company and its subsidiaries:
Mar. 31, 2012 Dec. 31, 2011
Performance Indicator Definition
(Three Months) (Full Year)
Return on Equity (ROE)
Net income* over average stockholders’ equity during the
period
2% 10%
Return on Assets (ROA) Net income* over average total assets during the period 1% 5%
Earnings per Share (EPS) Net income* over average number of outstanding shares PHP 0.06 PHP 0.22
Sales Growth
Total transaction value in USD in present period over the
previous year
47% 17%
Gross Income Revenue less total cost of services (PHP millions) 148.2 588.4
* Net Income attributable to equity holders of the Parent Company and Minority Interest. EPS computed using Net Income
attributable to equity holders of the Parent Company for the period ended March 31, 2012 and for the year ended December
31, 2011 are PHP 0.06 and PHP 0.23, respectively.
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