DMCI posts 20% profit growth
Consunji-led
conglomerate DMCI Holdings posted a 20-percent growth in core net profit last
year to P12.3 billion on strong earnings from its power generation, property,
water and construction businesses.
“Our growth was driven
by the strong performance of all our investments. Despite weak commodity prices
and project execution delays, we were able to meet our profit guidance for the year,”
said DMCI chair and president Isidro Consunji.
Including nonrecurring
items, DMCI’s consolidated net income rose by 19 percent to P12.8 billion last
year.
This was as the
conglomerate booked a P530-million one-time gain on the sale of its 25-percent
share in Private Infra Dev Corp., the project proponent and operator of the
Tarlac-Pangasinan-La Union Toll Expressway (TPLEx). The stake in the
tollroad was sold to San Miguel Corp.
Higher profits from
energy generation fueled an 18-percent increase in net income contribution from
Semirara Mining and Power Corp. to P4.8 billion last year.
As middle-income
developer DMCI Homes recognized revenues from previous sales of completed
high-rise projects, its net income contribution improved by 11 percent to P3.6
billion. Excluding the effect of a gain on the sale of an undeveloped lot in
2014, net income actually rose by 18 percent compared to last year.
On the water utility
business, continued improvement in operational performance and a 4-percent
increase in billed volume in 2015 pushed net earnings contribution of affiliate
Maynilad Water Services Inc. to grow by 17 percent to P2.3 billion. DMCI
has a 25.24-percent economic interest in Maynilad.
Better gross profit
margins from ongoing projects in 2015 drove the net income contributions of
D.M. Consunji Inc. to P628 million, up 35 percent from the previous year.
Net income contribution
from DMCI Mining Corp. expanded by 38 percent to P501 million. Higher sales
volume and streamlined operating costs helped mitigate the impact of declining
nickel ore prices on the company’s bottom line.
Meanwhile, off-grid
energy supplier DMCI Power Corp. contributed P382 million, a 57-percent
improvement from the previous year. The surge was attributed to the increased
energy dispatch of its power plants in Palawan, Masbate and Oriental Mindoro.