MERALCO net income up 47% in 1H 2023

MERALCO power lines

The Manila Electric Company (MERALCO) recorded a 47% increase in its consolidated net income in the first half of the year, the company announced.  

During the period, MERALCO achieved a record high of Php 19.205 billion, surpassing last year’s earnings of Php 13.088 billion, driven by an 186% increase contributed by the energy company’s power-generating business. 

MERALCO Chief Financial Officer Betty Siy-Yap also said in a report by the Manila Bulletin that the company’s reported net income increased by 36%, from Php 13.121 billion to Php 17.853 billion. 

She went on to explain that the energy company’s core earnings were recorded at Php 10.039 per share, whereas the reported earnings reached Php 15.840 per share. 

Meanwhile, MERALCO Chairman and CEO Manuel V. Pangilinan forewarned that though the company experienced an increase in the first half, the second half may not yield the same result due to the changes in weather and the maintenance shutdown of the San Buenaventura power plant under subsidiary MGen Global Business Power. 

Pangilinan said that expanding power and non-power subsidiaries remained one of the key growth pillars for the company. Notably, significant contributions have been observed from Pacific Light with Php 8.9 billion, Global Business Power at Php 843 million and Php 78 million, and the San Buenaventura thermal facility with Php 1.7 billion.

At the same time, the Consolidated distribution utility energy sales volumes also hiked up by 3% from 23,968 gigawatt hours (GWh) to 24,792 GWh, as volumes of Meralco increased by 3% and Clark Electric Distribution Corporation by 7%. 

For MERALCO executive vice president and chief operating officer Ronnie Aperocho, the increase in sales volumes was also due to the ‘strong rebound of power demand’.

“Our record-high sales volumes reflect strong rebound in terms of power demand. As we expect this growth trajectory to continue, we will aggressively invest in distribution network upgrades and expansion, and implement more programs that will improve overall customer experience,” Aperocho said.

He added that MERALCO is working closely with the power industry to alleviate opposing impacts on rates while assuring a continuous supply of energy to its customers.