AC Energy’s net income for the first quarter of the year went up by 53.7% to Php829.32 million from Php539.58 million restated figure in the same period last year.
In its disclosure to the Philippine Stock Exchange, the Ayalas’ power arm reported that its revenue from electricity sales went up by 25% or Php1.15 billion to Php5.69 billion from Php4.54 billion.
This was due to lower electricity rates charged by the Manila Electric Company (MERALCO), which began in the first quarter of 2020 following the imposition of a temporary restraining order on its power supply agreement. A motion for reconsideration was then filed and granted the following quarter.
Cost of electricity sales also went up by 27% or Php941 million to Php4.43 billion from Php3.49 billion mostly due to trading and other operating costs parallel to power operations and contracted capacities.
Among AC Energy’s key financial milestones in the first quarter were its Php5.37 billion stock rights offering (SRO) in January and the Php11.88 billion private placement of Singaporean sovereign fund GIC Private Limited in March.
The SRO and private placement, as well as the recently-concluded Php13.1 billion follow-on offering, form part of the company’s plans to raise Php30 billion for its projects this year and to become Southeast Asia’s largest listed renewable energy firm.
AC Energy also forged joint ventures with Solar Philippines and Citicore Power for the development of solar power plants across the country. It has also divested from the GNPower Kauswagan plant project in Lanao Del Norte as part of moves to drop coal from its power portfolio.