The multinational security group reported a loss of P14.3 million for the year ended December 2024, widening from P11.1 million in 2023. On the other hand, operating losses stood at P16.5 million, even as total revenue rose to P231.2 million, reflecting the company’s resilience in maintaining topline growth amid a difficult trading environment. Management attributed the continued losses to the combined effects of inflation-driven cost pressures and a market landscape increasingly dominated by citizen-owned security firms benefiting from preferential public procurement thresholds. “There has been a general inflation increase leading to higher costs of operation. A cost reduction strategy has been effected and management is closely monitoring this,” the company stated in its latest annual report.
Despite the strain on profits, G4S said its subsidiaries performed positively, contributing to overall revenue and signalling new opportunities for expansion. The company also ventured into the retail segment ,traditionally lower-margin than corporate contracts , as part of a broader product and market diversification strategy aimed at cushioning against concentrated exposure. However, the firm’s alarm systems business has been hit by aggressive pricing from new citizen entrants who are undercutting established players to win market share. With losses mounting, G4S’ board announced that no dividend will be paid for the third consecutive year, citing the need to preserve cash and strengthen the company’s balance sheet.
