AboitizPower 9-month net income rises 6%

By Lenie Lectura – November 8, 2018
from Business Mirror

ABOITIZ Power Corp. (AboitizPower) on Wednesday reported a 25-percent jump in its net income in the third quarter of the year to P7.6 billion, bringing its nine-month income to P16.7 billion, up by 6 percent from P15.7 billion in the same period last year.

Consolidated earnings before interest, depreciation, taxes and amortization (Ebitda) at end-September stood at P39.1 billion, an 11-percent increase from the P35.4 billion recorded in the previous year.

“Our strong financial performance in the first nine months of 2018 was driven by the continuously increasing demand for reliable, affordable and sustainable power supply.

“We were able to take advantage of this demand by growing our capacity and our balanced mix portfolio of renewable and thermal assets,” said the company’s chief operating officer, Emmanuel Rubio.

He added they hope to “sustain this steady growth momentum as we march to our 4,000-MW [megawatt] net attributable target in 2020, allowing us to continue advancing business and communities by providing power supply that is reliable, reasonably priced and responsibly produced.”

The company’s generation and retail electricity supply businesses recorded a consolidated Ebitda of P33.0 billion as of end-September, 11 percent higher than the P29.8 billion during the same period in 2017. The increase was primarily due to contributions from Pagbilao Energy Corp. and Hedcor Bukidnon Inc.

Capacity sold during the period under review was flat year-on-year, from 3,158 MW to 3,162 MW.

The company’s distribution business recorded consolidated Ebitda of P6.2 billion, 11 percent higher than the P5.6 billion recorded during the same period last year.

AboitizPower saw energy sales increase to 4,136 gigawatt-hours, which was 5 percent higher than the 3,924 GWh recorded for the corresponding period in 2017. This was the result of increased consumption levels across all customer segments.

“We aim to be a supplier of choice by optimizing our facilities to maximize efficiency and reliability and ensure that we can fully support the energy requirements of our customers,”  Rubio said.

AEV net income up 9%

Meanwhile, on a year-to-date basis, Aboitiz Equity Ventures Inc.’s (AEV’s) net income for the first nine months of 2018 was P17.3 billion, 9 percent higher than the P15.9 billion recorded last year, while core net income stood at P17.7 billion, up 4 percent, from P17.1 billion last year.

AEV is the public holding company of the Aboitiz Group with major investments in power, banking and financial services, food, infrastructure and land.  Gains from AEV’s Power, Food and Land strategic business units (SBUs) contributed to the increase.

“We welcome the gains posted by our strategic business units for the first nine months of the year. This reflects the strength of a focused growth strategy that endeavors to do well by doing good in advancing business and communities,” Erramon I. Aboitiz, AEV president and chief executive officer.

“We remain on the lookout for opportunities that not only help accelerate the country’s economic growth but, more important, become catalysts of positive change through our products and services,” Aboitiz added.

Power accounted for 72 percent of total income contributions from AEV’s SBUs, followed by Banking and Financial Services, Food, Land, and Infrastructure at 17 percent, 8 percent, 2 percent and 1 percent, respectively.

AboitizPower’s net income contribution to AEV increased by 6 percent year-on-year to P12.8 billion, from P12.1 billion.