MANILA, Philippines - Hefty earnings from power generation boosted the consolidated net income of holding firm Aboitiz Equity Ventures Inc. (AEV) by 228% to P11.3 billion in the first 6 months of the year.
Taking away a non-recurring loss of P120 million due to the revaluation of dollar debts, AEV's core profit surged by a higher 279% to P11.4 billion in January to June.
In the second quarter alone, the Cebu-based company posted a net income of P5 billion, a 149% increase year on year. Core net income rose by 155% to P5.5 billion on account of a one-time foreign exchange loss of P428 million.
AEV said out of the total earnings last quarter, its power business accounted for 79%. Income share of the banking and food groups were 11% and 10%, respectively, offsetting the weak contribution of the transport group.
Aboitiz Power Corp., the power distribution and generation arm of AEV, contributed P9.7 billion to net income in the first semester, a significant increase from P1.2 billion last year.
Nearly all earnings came from the power generation business after the company took over operations of plants privatized by the government, including the Tiwi-Makban geothermal plants, Pagbilao and Cebu coal-fired plants, and the Sibulan hydro power plant.
Income contributions from AEV's financial services and food groups, meanwhile, rose 7% to P964 million, and 125% to P867 million, respectively.
These offset the transport group's first-half net loss contribution of P120 million.