PetroEnergy Resources Corporation (PERC) is reporting an 11% drop in its net income, falling to Php 527 million in the first half of this year compared to Php 591 million in the same period last year.
In a report by Manila Bulletin, the company attributed the drop in financial performance to higher financing costs, which were largely due to direct equity acquisitions, including the purchase of a 20% stake in PetroWind Energy Inc. from its affiliate, EEI Power Corporation.
In addition to this, PERC acquired a 44% equity share in PetroSolar Corp from EEI Power, along with a 7.5% stake in PetroGreen Energy Corporation.
PetroGreen, a key subsidiary focused on renewable energy (RE) projects, is 75% owned by PERC, with the remaining 25% held by Japanese partner Kyuden International Corporation.
PERC emphasized that consolidated income was negatively impacted by higher financing charges due to loans secured to fund the EEIPC acquisition.
Despite this, the consolidated profit attributable to PERC’s equity holders rose by 15%, reaching Php 320 million compared to Php 278 million in the same period last year.
PERC also reported a 43% increase in revenue from electricity generation, amounting to Php 1.410 billion, up from Php 984 million the previous year.
However, cash flow from its upstream petroleum operations remained relatively unchanged at Php 276 million, slightly down from Php 280 million in the same period in 2023.
PERC further noted that it received Php 94.6 million in dividends last month from its subsidiaries PetroGreen and PetroSolar, which enabled the company to declare a cash dividend of Php 0.05 per share for stockholders as of the record date on August 30, 2024.
