Meralco’s core income increases 10% in H1

The distribution utility accounted for more than half of the profit.

Philippines-based Manila Electric Co. (Meralco) has ended the first of the year with a consolidated core net income (CCNI) of $445.10m (PHP 25.5b), up 10% from last year.

In a bourse filing, the company said 54% of the core profit came from Meralco’s distribution utility.

Significant contribution was also realised from the power generation business, which accounted for 37% of the core earnings. Meanwhile, retail electricity supply and non-electricity businesses accounted for 9% of the income.

Meralco’s consolidated capital expenditures stood at $829.11m (PHP 47.5b) as of end-June. Of this, 71% was used for the development of MTerra Solar, Greenergy for Global, Inc. and Greentech Solar Energy, Inc. solar plants. Distribution utility accounted for $239.13m (PHP 13.7b), the majority of which was used for new connections, asset renewals, load growth, and pole relocation works.

“Whilst energy sales volume growth has been lower than anticipated, we remain on track to meet our overall targets as power generation is expected to deliver higher-than-expected performance, offsetting the anticipated slower demand growth,” said Meralco Chairman Manuel Pangilinan.

“We are guiding our 2025 full-year CCNI to grow by low double digits over 2024 CCNI,” he added.

$1 = PHP57.29