Power generation firm Energy Development Corp. (EDC) reported its net income declined by over 19 percent to P2.63 billion in the first quarter of the year, from P3.26 billion in the same period last year.
EDC attributed the decrease mainly to higher costs of sale and higher provision for income tax that was only partly offset by higher revenues.
Its revenues rose by 4.8 percent to P10.89 billion from P10.39 billion a year ago, primarily due to higher electricity spot market prices.
EDC said energy sales volume dropped by 7.5 percent to 2,174.4 gigawatt hours (GWh) from 2,350.2 GWh due to lower generation.
For this year, EDC allotted as much as P17.38 billion for capital expenditure (capex).
Based on its preliminary information statement submitted with the Philippine Dealing and Exchange Corp. last month, P6.48 billion or 37.28 percent of the allotment will be for acquisitions to support the operations, maintenance requirements and reliability improvements of geothermal plants in Leyte, Negros Island, Bacon-Manito and Mt. Apo.
The remaining balance of 62.72 percent or P10.9 billion will be spent for investments by its subsidiaries focused on hydro, solar, wind projects in Ilocos Norte, possible projects in Latin
America, as well as possible expansion of existing geothermal, wind and solar plants.
EDC’s capex this year is 2.4 percent higher than last year’s P16.98 billion.
In 2021, EDC spent P8.68 billion or 51.12 percent of its capex also for acquisitions to support the operations, maintenance requirements and reliability improvements of its geothermal plants.
EDC has over 1,480 megawatts (MW) of total installed capacity that accounts for 20 percent of the country’s total installed renewable energy capacity.
Its 1,181 MW geothermal portfolio also accounts for 62 percent of the country’s total installed geothermal capacity, making the Philippines the third largest geothermal producer in the world. – Jed Macapagal
