Aboitiz Power Corp. recorded a four percent drop from P5.3 billion to P5.1 billion net income this year due to non-recurring foreign exchange losses.
The energy company noted higher non-recurring losses at P 196 million due to net foreign exchange losses related to dollar-denominated debts and placements and despite higher energy sales.
Meanwhile, the second quarter year-to-date earnings fell six percent from P 9.7 billion last year to P9.1 billion this year.
Net forex losses totaled to P1.4 billion.
Its core net income was flat year-on-year at P10.5 billion without the one-off losses.
Merge earning logged a 10 percent rise from P21.8 billion to P24 billion without the interest, taxes, depreciation, and amortization (EBITDA).
“We continue to grow the business with the capacity additions and the expanding distribution business,” AboitizPower President and CEO Antonio Moraza said.
“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,” he said.
Overall net income from the generation and retail electricity supply was P8.5 billion, eight percent lower from last year due to forex losses.
Capacity sold rose to eight percent from 3,086 megawatts (MW) to 3,319 MW due to new capacities sold from Pagbilao Energy Corp. (PEC).
In terms of distribution, the business segment contributed P2.1 billion in net earnings, a 14 percent from last year’s P1.8 billion.
Due to the fresh EBITDA contributions from PEC, the consolidated EBITDA of the company’s generation and retail supply business was also up nine percent from P18.5 to P20.2 billion.
These upsides were partially offset by the lower contributions coming from the company’s hydro plants due to lower hydrology during the first six months, Aboitiz said.
Its consolidated EBITDA totaled to P3.9 billion, which increased 13 percent from the P3.4 billion recorded last year.
Energy sales increased seven percent from 2,546 gigawatt-hours (GWh) to 2,719 GWh due to increased consumption across all consumer segments as well as improving margins.