AboitizPower earns P9.1 billion in the first half of 2018
On a year-to-date (YTD) basis, Aboitiz Power Corporation’s (AboitizPower’s) net income for the first half of 2018 was P9.1 billion, 6% lower than the P9.7 billion recorded last year. The company recognized non-recurring losses of P1.4 billion, versus last year’s losses of P744 million, coming from net foreign exchange losses.
Without these one-off losses, the company’s core net income was flat year-on-year (YoY) at P10.5 billion. AboitizPower recorded consolidated earnings before interest, taxes, depreciation, and amortization (EBITDA) of P24 billion for the first half of 2018, a 10% increase from the P21.8 billion recorded last year.
“We continue to grow the business with the capacity additions and the expanding distribution business,” said Antonio R. Moraza, AboitizPower President and Chief Executive Officer.
“Energy sales are up; however, margins are getting tighter due to competition. This is a reality that we have prepared for-- and our organization is equipped to compete,” Moraza added. from the company’s hydro plants due to lower hydrology during the first six months of 2018.
After taking into account interest, depreciation and taxes, core net income at the end of the first half of 2018 was P9.4 billion, 2% lower than last year. Due to foreign exchange losses, the first half’s non-recurring losses totaled P857 million, versus last year’s non-recurring loss of P284 million. This brought the generation and retail electricity supply net income contribution to P8.5 billion, which was 8% lower YoY.
AboitizPower’s capacity sold for the period increased 8% YoY, from 3,086 megawatts (MW) to 3,319 MW, driven by new capacities sold from PEC. consolidated EBITDA of the distribution business was P3.9 billion, up by 13% from the P3.4 billion recorded last year. The group saw a 7% YoY increase in energy sold, from 2,546 gigawatt-hours (GWh) to 2,719 GWh, due to increased consumption across all customer segments. Improving margins also contributed to the increase in consolidated EBITDA during the period in review. As a result, net income contribution of the distribution business increased by 14% YoY, from P1.8 billion to P2.1 billion. and competitive price, and with the least adverse effects on the environment and host communities.
The company is one of the largest power producers in the Philippines with a balanced portfolio of assets located across the country. It is a major producer of Cleanergy, its brand for clean and renewable energy with several hydroelectric and geothermal power generation facilities. It also has various fossil-fired power plants in its generation portfolio to support the baseload and peak energy demands of the country.
The company also owns distribution utilities that operate in high-growth areas in Luzon, Visayas, and Mindanao, including the second and third largest private utilities in the country. PR