DMCI Holdings Inc. of the Consunji Group is looking at a full year consolidated net income of P12 billion this year from P10 billion in 2014, its chairman said Monday.
DMCI Holdings chairman Isidro Consunji told reporters most of its subsidiaries over-performed this year, including Maynilad Water Services Inc., Semirara Mining and Power Corp. and DMCI Homes.
Consunji said unit D.M. Consunji Inc. and Semirara Mining were also expected to perform well next year.
“This year will be another record high income,” he said, adding some subsidiaries would start paying income tax in 2016.
DMCI Holdings booked a consolidated net income of P9.9 billion in the first nine months of the year, up 31 percent from P7.5 billion year-on-year.
Excluding a one-time gain from the sale of its stake in Private Infra Dev Corp. to Rapid Thoroughfares Inc. of San Miguel Corp., the core net income grew 24 percent to P9.3 billion from P7.5 billion on year.
PIDC is the concessionaire of the Tarlac-Pangasinan La Union Expressway.
The company said higher income contributions from coal mining, real estate, off-grid power, construction and water distribution businesses boosted the company’s profit performance.
“Despite challenging market and operating conditions, our investments delivered robust growth during the first nine months of the year. We are focused on sustaining this momentum to achieve our full year profit target of P12 billion,” said Consunji.
Consolidated core EBITDA improved 36 percent percent to P18.7 billion from P13.7 billion in the previous year, while earnings per share jumped 31 percent to P0.74 from P0.57 on year.
Semirara Mining contributed P3.5 billion to DMCI Holdings’ bottom line, up 59 percent from P2.2 billion declared last year, due to the improved output and sales of the power generation segment.
Gross power generation of Semirara Mining’s Calaca power units surged 81 percent to 3,163 gigawatt-hours from 1,748 Gwh, while the cost of power sales decreased 50 percent to P3.5 billion from P7 billion.
With its power units operating reliably this year, Semirara Mining sustained its normal costs levels.
DMCI Homes contributed P2.7 billion, a 4-percent increase from the previous year owing to higher recognized revenues from completed high-rise projects in the first quarter.
Excluding the effect of a gain on sale of undeveloped lot last year, net income actually rose 12 percent on year.
Higher billed volume and improved operational efficiency pushed profit contribution from affiliate Maynilad up by 25 percent to P1.7 billion from P1.4 billion.
Income contributions from DMCI Mining reached P643 million, down 26 percent from last year’s P870 million, due to lower nickel prices, higher asset depreciation and depletion, and higher effective tax this year.
The profit contribution of DMCI Power surged 62 percent to P305 million from P188 million last year. Higher electricity sales in Oriental Mindoro, Masbate and Palawan accounted for the significant growth.