DMCI posts net income in 2018

Diversified engineering conglomerate DMCI Holdings, Inc. reported a consolidated net income of 114.5 billion for 2018, a slight 2 percent slip from the 114.8 billion earned in the previous year.

“Our real estate, construction, off-grid power, mining and water businesses delivered healthy returns in 2018 but the weakerthan-expected performance of Semirara Mining and Power Corporation (SMPC) tempered our consolidated profits,” said DMCI Holdings Chairman and President Isidro A. Consunji.

He explained that, “SMPC faced a series of unforeseen setbacks like the prolonged shutdown of Unit 1 of Southwest Luzon Power Generation Corporation, inclement weather and China’s soft ban on coal imports.”

Excluding non-recurring income of 138 million in 2018 and one-time loss of 1281 million in 2017, core net income of DMCI Holdings receded 4 percent year-on-year from 115 billion to 114.5 billion.

The 1 38 million nonrecurring income is attributable to a 1715 million gain on sale of land by DMCI Homes and 1679 million share in accelerated depreciation of Sem-Calaca Power Corporation.

Meanwhile, the one-time items in 2017 include a 1117 million share in Maynilad’s redundancy and right-sizing costs and 1164 million share in the accelerated depreciation of Sem-Calaca Power Corporation among others.

Net income contributions from SMPC fell 14 percent from 18 billion to 16.8 billion due to a 12 percent drop in coal sales volume and nearly 8-month shutdown of Southwest Luzon Power Generation Corporation (Unit 1).

Excluding non-recurring items, SMPC’s core income attributable to DMCI Holdings declined 8 percent from 18.1 billion to 17.4 billion.

DMCI Homes registered a 9 percent increase in net earnings from 13.6 billion to 13.9 billion owing to a 3 percent rise in revenues and a onetime gain of 1715 million on sale of land.