First Philippine Industrial Park, Inc. (FPIP), owns and operates one of the largest and fastest-growing industrial parks in the Philippines today. With over 600 hectares of prime industrial land, its industrial park straddling the cities of Santo Tomas and Tanauan in the province of Batangas stands out as the preferred site of over 150 world-class locators.
FPIP was established in 1996 in response to the government’s call for private sector assistance in catalyzing industrial growth. Today, FPIP continues to work with its locator-partners and contributes to national development and economic growth by helping create almost 80,000 local jobs and generating billions of pesos in annual export earnings.
Financial Highlights
► In 2024, FPIP achieved significant milestones that reinforced its position as a leading industrial park. It posted an increase in revenue after successfully closing the second tranche of the land sale to First Philec, while welcoming TE Connectivity’s reservation for Ready Built Factory (RBF) Z.
► FPIP’s Water Resource Management Group also introduced new services and secured the approval of new water tariffs for 2025, while FPIP’s Park Management and Utilities Group (PUG) successfully implemented its park management fee adjustment to further support the Company in enhancing FPIP’s operations. PUG likewise launched new telecommunications infrastructure to better serve locator-partners, allowing for a wider choice of providers, faster deployment of internet services, and more affordable interconnection fees.
► With a remarkable occupancy rate nearing full capacity, FPIP continues to be the preferred choice for businesses. 2024 saw the start of construction for the FPIP Plaza and the enhancement of Collins RBF with build-to-suit solutions, reflecting the FPIP’s dedication to innovation and providing world-class facilities to its locator-partners.
► Despite lower land sales in 2024, FPIP’s net income grew to PHP184.6 million* due to increased recurring revenues and effective cost management. This was achieved despite higher depreciation costs for new assets and increased interest expenses for financing growth requirements.
*PHP 69.1 M after one-off loss on impairment of RBF X3
2024 Key Highlights
► In 2024, FPIP welcomed seven new locators including suppliers of existing anchor locators such as TE Connectivity and Honda Philippines. TE Connectivity made the reservation for Building Z in 2024, with lease commencing in February 2025.
► FPIP broke ground on September 10, 2024 for the FPIP Plaza, a three-story mixed-use hub that FPIP is constructing inside its industrial park in Santo Tomas, Batangas. The FPIP Plaza will create a more convenient and elevated experience for FPIP locator employees, visitors, and the local community.Upon its completion, FPIP Plaza’s 15,000-square meter commercial space will house various retail establishments, restaurants, service centers, corporate offices, and government offices.
► FPIP Utilities Incorporated (FUI), FPIP’s water subsidiary, broke ground on September 19, 2024 for its river water treatment facility to ensure a reliable water supply for its current and future locators, as well as its other customers. This project aims to address the pressing issue of groundwater depletion and promotes sustainable water management practices.
► FPIP also made significant strides to foster a culture of growth and to enhance its organizational capabilities. It launched the ABCS Program, a key initiative aimed at driving excellence across the company’s operations. FPIP likewise rolled out several capability-building initiatives, including eight focused projects designed to strengthen organizational capabilities. These projects engaged and empowered 39 dedicated team members, reflecting the Company’s commitment to cultivating a high-performing and empowered workforce that aligns with FPIP’s vision for continuous improvement and innovation.
2024 Key Highlights
In 2024, FPIP enhanced its sustainability efforts, highlighting the Company’s deep commitment to environmental stewardship and social responsibility. The FPIP community planted over 3,280 trees, aiding the sequestration of 101 metric tons of carbon dioxide equivalent (MTCO2e) annually. FPIP’s initiatives reduced its emissions in 2024 by 13 percent, or by 5,200 MTCO2e.
The deployment of five electric vehicles further contributed to a reduction of 7.5 MTCO2e annually. Through waste management efforts, FPIP successfully diverted around 47 percent (10 tons) of recyclable and scrap waste from landfills. In terms of workplace safety, FPIP celebrated a milestone of 1 million safe man-hours as of August 10, 2024.
On the social front, FPIP conducted a Gender Gap Analysis and Human Rights Impact Assessment, which laid the groundwork for a more inclusive and equitable organization. These efforts were solidified with the approval of a comprehensive sustainability policy, ensuring FPIP’s long-term commitment to sustainability and regeneration.
FPIP also received several prestigious recognitions for achieving key breakthroughs that highlighted its commitment to excellence and sustainability. Its dedication to environmental management earned first runner-up honors from the Pollution Control Association of the Philippines, Inc. (PCAPI) during PCAPI’s 2024 National Sustainability Awards, an annual event that recognizes companies with major environmental impact projects.
In 2024, FPIP emerged the sole industrial park among 1,000 nominees to win the Asia-Pacific Stevie Award, an international business awards competition honoring innovative practices and outstanding achievements. Edwin de Chavez, FPIP Utilities, Inc. (FUI) senior manager, received a Certificate of Appreciation for his valuable contributions to the “FUI Adopt-a-River” initiative. This award recognized his team’s active participation in community and environmental programs. FPIP was also named one of the Top Green Companies of 2024, further solidifying its reputation as a leader in environmental stewardship and sustainability.
Looking Forward
Grow Recurring Revenues
Efforts are directed toward acquiring new anchor locators with high potential for downstream revenues and finalizing deals with current hot prospects to expand the recurring revenue base.
Enhance Lead Generation
New leads will be generated through strengthened network development and deeper engagements with key anchor locators, including Collins, Dyson, TE Connectivity, Brother, Canon, Honda, Murata, and Ibiden.
Drive Expansion and Scale while Managing CAPEX
Plans include identifying new sites, building additional RBF inventory, and ensuring the on-time construction of FPIP Plaza. Further investments will bolster water resource management capacity, and potential buybacks will be pursued to create new facility inventory.
Expand Reach and Develop New Offerings
Allied services for locators, including shared warehouses and container yards, will be expanded. Commercial businesses will grow through increased letters of intent and signed leases for FPIP Plaza. Efforts will also focus on maintaining occupancy at Oasis and Consuelo Park Residences while designing and identifying sites for new workers’ accommodations.
Capability and Culture Building
The year will see the full implementation and completion of all capability-building projects, alongside the embedding of productivity tools and culture-promotion initiatives to nurture organizational excellence.
Major opportunities for FPIP in 2025 include leveraging the growing positive sentiment towards the Philippines as a prime investment destination, alongside improvements in the investment climate that have already spurred widespread investments across the country. The rising demand for RBFs and new buildings presents another key opportunity, alongside the introduction of the Board of Investments (BOI) and Philippine Economic Zone Authority (PEZA) priority sectors.
FPIP plans to capitalize on these developments by fostering a robust locator ecosystem within the park and introducing distinct programs that enhance the living and working experience of our locators and their employees. By forging new partnerships with anchor locators and supporting the key priority sectors of the BOI and PEZA, FPIP is poised to strengthen its position and ensure the futureproofing of the park. This will enable a broader range of tailored service offerings that cater specifically to the needs of industrial and commercial customers, driving long-term success and growth.
