Energy Development Corporation reported a consolidated recurring net income attributable to equity holders of the Parent of Php7.0 billion for the first nine months of 2015, down by 10% from the Php7.8 billion posted during the same period last year. The decrease is mainly due to the lower output of the Tongonan Plant resulting from the unplanned outage of a 37.5MW unit early in 2015, higher operating expenses largely spent on typhoon resiliency works, and the commencement of income tax payments of the hydro unit Pantabangan Masiway following the expiration of its income tax holiday last April 2014.
Inclusive of non-recurring items, consolidated net income attributable to equity holders of the Parent stood at Php5.9 billion during the first three quarters of 2015, 43% lower compared with the Php10.4 billion recorded during the same period last year. The decrease was primarily driven by higher foreign exchange losses of Php1.2 billion (vs. Php0.2 billion last year) and the absence of any impairment reversals this year. Last year the company recognized a Php2.0 billion impairment reversal on its Northern Negros power plant.
Meanwhile, consolidated revenues amounted to Php25.3 billion, up by Php2.3 billion, or 10%, from the Php23.0 billion recorded during the same period in 2014. The increase was largely on account of higher energy sales coming from the newly rehabilitated Bacman power plants that contributed Php1.2 billion to the top line along with the recently commissioned Nasulo power plant that contributed an additional Php0.6 billion. The newly commissioned Burgos Wind power plant also contributed Php1.3 billion in fresh revenues, and with the doubling of transmission line capacity in Ilocos, will now be able to sell up to its full generating capacity.
“The completion of the uprated Laoag-San Esteban transmission line last September is timely given that we expect to generate close to 75% of our energy sales from the Burgos Wind Project during the next 6 months.” EDC President/COO Richard Tantoco said. “Going forward, we will continue to proactively invest in both typhoon resiliency and equipment upgrades to increase output, improve reliability and boost the energy and cash generation of our power plants.” Tantoco added. As of the first three quarters of 2015, the Company’s cash balance stood at Php15.5 billion with consolidated net debt to equity of 1.21 to 1 and consolidated net debt to EBITDA of 3.04 to 1.
The Energy Development Corporation (EDC) is a pioneer in generating 100% clean, renewable, and reliable power as an electricity supplier in the Philippines for over 40 years. With power plants all over Visayas and Mindanao, the company is one of the biggest producers of geothermal energy in Asia and is expanding its reach in the international market, allowing it to offer customers affordable energy rates. EDC also strives to provide the best customer service it can to all its clients by having helpful salespeople and easy to understand contracts. Because of all of this, it is poised to become the premier supplier of electricity for the Philippines’ Green Energy Option Program. EDC takes its mission as a renewable energy provider seriously and goes beyond sustainability by investing in programs that enhance the environment and empower its partner communities, thereby fostering regenerative development. The company has also been working toward being carbon-neutral by improving its energy efficiency, as well as implementing various greening projects to ensure that its mission to provide future generations with a better life remains intact.