SMC Global Power Holdings (SMCGPH), the power generation arm of San Miguel Corporation (SMC), posted a 31% increase in its net income for 2020 despite having lower sales amid the lockdowns resulting from the COVID-19 pandemic.
Based on SMC’s disclosure to the Philippine Stock Exchange, SMCGPH’s profit went up to Php18.9 billion last year from Php14.4 billion year-on-year.
Net sales, however, slumped by 15% to Php115 billion from Php135 billion previously.
Operating income, meanwhile, slightly increased to Php36.9 billion from Php36 billion the year prior.
SMCGPH is Luzon’s biggest and the country’s second-largest power generator, based on the latest data from the Department of Energy. It recently bagged two contracts to supply the Manila Electric Company (MERALCO) with 1,800 megawatts of electricity.
SMCGPH — the current administrator of the Ilijan Combined-Cycle Power Plant in Batangas — recently set conditions on its ownership, but was rejected by the government. Nonetheless, the power firm still wishes to continue negotiations.
As for SMC itself, net income fell by 55% to Php21.9 billion in 2020 from Php49 billion in 2019. On Wednesday, SMCGPH’s sister firm Petron — the country’s largest oil company — posted a net loss of Php11.4 billion last year due to quarantine restrictions and taxation issues.