Lower demand for power due to the COVID-19 pandemic pulled down Aboitiz Power Corporation’s consolidated net income to just Php3.3 billion in the third quarter, 32% lower than the Php4.8 billion posted in the same period last year.

Meanwhile, core net income from January to September 2020 plunged by 53% to Php6.5 billion compared to Php13.7 billion in the first nine months of 2019.

Profits also plummeted in the nine-month period by 48% to Php7 billion as against Php13.5 billion in the same period last year.

The company likewise emphasized that it had non-recurring gains worth Php305 million compared to the P341 million non-recurring loss in the same period in 2019, largely due to the revaluation of US dollar-denominated financial obligations.

Aboitiz Power also indicated that it had additional tax expenses following the lapse of the income tax holiday incentives of some of its power plants, primarily Therma South Inc., and GNPower Mariveles Energy Center Ltd. Co.

With the many losses it incurred, AboitizPower President and CEO Emmanuel Rubio said the company has decided to defer its energy investment projects in Vietnam and stick to its pre-pandemic plans.

Rubio adds that the company intends to raise power output of its renewable energy projects from around 940 megawatts (MW) to about 1,800 MW.

AboitizPower’s parent firm Aboitiz Equity Ventures suffered the same fate. Its net income for the third quarter went down by 35% to Php4.4 billion compared to last year, while its nine-month net income fell by 47% to Php8.3 billion year-on-year.

In spite of the group’s performance, it remains hopeful that it could begin bouncing back from the economic effects of the pandemic.

“Despite the headwinds of the first nine months, the Aboitiz Group’s business continuity plans have proven effective and will remain in place as we continue to exhibit resilience in our operations toward the end of the year,” said Aboitiz Group President and Chief Executive Officer Sabin Aboitiz.