Consolidated net income of Aboitiz Equity Ventures, Inc. (AEV), one of the country’s biggest conglomerates, soared to P16.8 billion in the first nine months, up 187 percent, with the power business contributing 83 percent of the company’s net income.
AEV disclosed to the Philippine Stock Exchange that for the third quarter alone, its consolidated net income reached P5.6 billion, up 128 percent year-on-year.
AEV said its subsidiary Aboitiz Power Corp. (APC) recorded an income contribution of P14.2 billion for the first nine months, a significant increase from P2.9 billion in the same period last year.
“The power generation business contributed close to P14 billion, recording an increase of 519 percent YOY. This was on the back of a 195 percent YoY rise in total attributable power sales, from 2,489 gigawatthours to 7,340 GWh,” the company said.
It said the Tiwi-Makban geothermal power plants, which were turned over to Aboitiz Power in May 2009, had a full nine months contribution this year.
Fresh contributions from the Pagbilao coal-fired power plant, the power barges, the Sibulan hydropower plant and two units of the Cebu coal-fired power plant augmented Aboitiz Power’s net generation for the period.
APC’s capacity went up 94 percent year-on-year at 2,030 megawatts as of end September, due to the assumption of the dispatch control over the 700 MW contracted capacity of the Pagbilao coal-fired power plant in October 2009.
Additional capacities resulted from the takeover of the two 100-MW power barges and the start of operations of the 42.5 MW Sibulan hydropower plant and the two 82-MW units of the 26%-owned Cebu coal-fired power plant.
The power distribution group, meanwhile, reported a nine percent increase in electricity sales for the first nine months to 2,677 GWh from 2,460 GWh.
Growth was spurred by increases in power consumption of the residential, commercial and industrial customers, recording increases of six percent, five percent and 11 percent, respectively.
AEV’s banking business contributed net earnings of P1.9 billion in the first nine months, up 39 percent YoY.
Union Bank of the Philippines ended the period in review with an earning contributions of P1.8 billion, up by 37 percent YoY while City Savings Bank, Aboitiz Equity’s non-listed thrift bank, contributed P110 million during the period, up 97 percent YoY.
The Aboitiz Group’s food business under Pilmico Foods Corp. contributed P1.2 billion in the company’s earnings during the period, up 69 percent YoY.
The transport group, however, ended the nine-month period with a net loss contribution of P374 million, a reversal from last year’s net income contribution of P331 million.
Aboitiz Transport System Corp. (ATSC) posted a consolidated revenues of P9.6 billion, up 10 percent YoY from P8.7 billion.
The company’s international ship chartering business and supply chain solutions, specifically trading and third party logistics, drove the growth for the period.
Both the local freight and passage businesses, however, saw an overall reduction in their financial performance for the period.
AEV said it was only in the third quarter when ATSC’s whole fleet was in full operations.
The company operated with very limited capacity in the first half of the year, as most of its SuperFerry vessels and freighters were on regular maintenance and drydocking.