TAIWAN – Conglomerate Metro Pacific Investments Corp. (MPIC) is looking to end the year on a high note as it expects to surpass its 2024 core income target after soaring to a record high during the nine-month period ending September.
MPIC executive vice president, chief finance, risk and sustainability officer Chaye Cabal-Revilla said in a media briefing that the company is poised to exceed its P22.4 billion core income target for the year.
“We actually closed our year-to-date three quarters with very good numbers, mirroring the trends that we’ve had in the first half. Actually, the trends would mean that we would be exceeding our target for 2024,” Cabal-Revilla said.
“When you ask about target, it’s P22.4 billion. We’re already at P20.8 billion, so we’re near that. So it’s going to be over,” she said.
From January to September, MPIC reported a consolidated core net income of P20.8 billion, up by 28 percent from P16.2 billion in the same period last year.
Improved financial and operating results from MPIC’s holdings delivered a 21-percent hike in contribution from operations to P24.3 billion.
The increase was mainly driven by strong growth in energy sales at Manila Electric Co. (Meralco), higher billed volumes at Maynilad Water and increased traffic on the toll roads complemented by higher tariffs.
MPIC’s reported net income for the period rose faster at 44 percent to P23.1 billion from last year’s P16.1 billion due to additional non-recurring gains from its real estate business.
With the group continuing to maintain a low cost of capital, MPIC chairman, president and CEO Manuel V. Pangilinan said in a statement that the company is poised to maintain its very strong growth trajectory for the rest of the year.
“Our power, toll roads and water business continued to deliver double-digit growth in earnings on the back of strong volumes and the impact of long overdue tariff adjustments,” Pangilinan said.
“All our businesses are investing heavily in service quality and operational efficiency to improve the lives of our customers while at the same time growing our sales and core profitability to create value for our investors,” he said.
Among the company’s core businesses, power contributed the largest share at P15.3 billion or 63 percent of net operating income during the three quarters.
Meralco’s core net income for the period climbed by 17 percent to P35.1 billion on higher contributions from power generation, retail electricity supply and non-power businesses.
Toll roads and water, meanwhile, contributed P5.1 billion and P4.5 billion, respectively, representing 39 percent of net operating income.
Boosted by a higher share in net earnings of equity-accounted Vietnam and Indonesian toll roads, Metro Pacific Tollways Corp.’s core net income improved by 28 percent year-on-year to P5.2 billion.
Maynilad’s core earnings also jumped by 37 percent to P9.3 billion, buoyed by lower operating expenses.