Aboitiz nets P24 billion 2012 income, up 13% vs 2011-A A +A
Friday, March 8, 2013
ABOITIZ Power Corporation claims 2012 as banner year for the company in terms of financial performance, with a consolidated income of P24.4 billion up by 13 percent compared to 2011.
Erramon Aboitiz, Aboitiz Power President and CEO, said 2012 was another year for the company, with both distribution and generation segments experiencing strong electricity growth on the back of a vibrant economy.
Aboitiz believed it has the right strategies and initiatives in place to sustain their growth over the long term, and confident enough that it has the required management team to ensure successful execution of these plans in pushing upwards the demand for electricity in the country.
AboitizPower is the holding company for the Aboitiz Group’s investments in power generation, distribution, retail and power services. It is a major producer of Cleanergy, its brand for clean and renewable energy in the Philippines with several hydroelectric and geothermal assets in its generation portfolio and also has non-renewable power plants located across the country. The company owns distribution utilities that operate in high-growth areas in Luzon, Visayas and Mindanao.
Aboitiz said the company's growth will be plowed back into new projects which will improve the power supply situation, particularly in Mindanao, while improving services of the power distribution companies like Davao Light and Cotabato Light.
“We have a number of greenfield and brownfield projects that are currently in various phases of development and construction that will continue to mold our portfolio of renewable and non-renewable assets into what we think will be the right-mix of base load, intermediate and peaking facilities. We expect to add another 1,700 MW of capacity over the next four years, which should keep us busy over this period,” Aboitiz said in a statement.
In Mindanao, AboitizPower subsidiaries Therma South and Hedcor are set to add 313 MW of power next year and 2015.
Hedcor's Tudaya 1 and 2 run-of-river hydro projects are set for completion in 2014, while the 24/7 baseload coal power plant of Therma South should be completed by 2015. The two facilities will contribute to the long-term resolution of the Mindanao power crisis.
The power generation business accounted for 89 percent of earnings contributions from AboitizPower’s business segments, recording an income share of P22.8 billion for the year on an 11-percent growth compared to 2011.
AboitizPower’s attributable capacity had a marginal increase at 2,353 MW nationwide as of the end of 2012. The partial completion of the rehabilitation of the Binga (2 of 4 units) hydropower plant and the commercial operation of the four-MW Irisan greenfield hydropower plant were the main contributing factors to this growth.
The power distribution group registered a 16 percent year-on-year growth on the back of increased electricity sales and improved average gross margin.
Aboitiz hopes to expect 2013 to be another exciting year for their distribution business in which the growth in electricity demand follows the Philippine economy.
“We have, therefore, been gearing up our distribution networks and services to make sure we don't fall behind. We have improvements in our systems, processes, infrastructure, and services scheduled,” Aboitiz said.
As of December 31, 2012, AboitizPower’s total consolidated assets amounted to P164.1 billion, seven percent higher than year-end 2011 level of P153.5 billion.
AboitizPower’s consolidated Cash and Cash Equivalents was at P30.7 billion, while total consolidated interest-bearing loans was at P66.9 bn. Equity Attributable to Equity Holders of the Parent increased by 19 percent to P81.5 billion from year-end 2011.
Current ratio as of year-end 2012 was at 2.6x (versus year-end 2011’s 3.5x), while net debt-to-equity ratio was at 0.4x (versus year-end 2011’s 0.7x).
Published in the Sun.Star Cagayan de Oro newspaper on March 09, 2013.