EDC profits on additional sales from rehabilitated geothermal facilities
Bacon-Manito geothermal field, Philippines (source: EDC)
Francisco Rojas
14 Aug 2014
EDC's profit surged by more than two-thirds in the first half, as the company reaped additional sales from its rehabilitated geothermal facilities.
In a financial report, the Lopez-controlled firm said its January to June net income hit P6.48 billion, up 68.4 percent from P2.63 billion in the same months in 2013.
Consolidated revenues amounted to P15.2 billion, up by 13.0 percent, from the P13.4 billion recorded during the same period in 2013.
The profit hike was brought about by a P1.79 billion increase in revenues mainly due to additional revenues from the 130-megawatt (MW) Bacon-Manito (BacMan) geothermal plants in Albay and Sorsogon.
“We’re finally reaping some of the benefits of our revised rehab strategy for BacMan. The plants will contribute to our second half revenues starting end-August when Units 1 and 3 return to service. The installation of brand new Toshiba steam turbine rotors has not been affected by Typhoon Glenda and remains on schedule for the fourth quarter this year and first quarter next year,” Richard B. Tantoco, EDC president and chief operating officer, said.
EDC’s 106-MW Mindanao and 192.5-MW Palinpinon geothermal plants in North Cotabato and Negros Oriental contributed a P300 million and P200 million revenue increase, respectively. This was primarily due to the higher recorded energy sales for both power plants.
EDC also registered a P1.21 billion turnaround from foreign exchange losses of P831.40 million in June 2013 to foreign exchange gains of P374.90 million in the first semester of 2014. These were offset by a P290.90 million increase in provision for income tax
Subsidiary FG Hydro Corp’s revenues, meanwhile, declined by P200 million due to the mandated re-computation of electricity spot prices by the Energy Regulatory Commission for November and December 2013 billings, which took effect in the first quarter this year. FG Hydro operates the 132.5-MW Pantabangan-Masiway hydroelectric power plants in Noeva Ecija.
Source: Interaksyon Website
