DMCI Holdings earns P12.8 B in 2015
DMCI posted a consolidated net income of P12.8 billion in 2015, up 19 percent from P10.8 billion the previous year, buoyed by the P530-million one-time gain on the sale of its 25 percent share in the Tarlac-Pangasinan-La Union Toll Expressway. File photo
MANILA, Philippines -
Diversified engineering conglomerate DMCI Holdings Inc. earned about a fifth
more last year despite setbacks encountered in some of its projects and coupled
by lower commodity prices.
DMCI posted a
consolidated net income of P12.8 billion in 2015, up 19 percent from P10.8
billion the previous year, buoyed by the P530-million one-time gain on the sale
of its 25 percent share in the Tarlac-Pangasinan-La Union Toll Expressway.
The company’s core
profit, meanwhile, surged 20 percent last year to P12.3 billion from P10.3
billion in 2014.
“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,” DMCI chairman and president Isidro Consunji said.
DMCI said higher profits
from energy generation fueled net income contributions from Semirara Mining and
Power Corp. to grow 18 percent to P4.8 billion compared to P4.1 billion in
2014.
Property developer DMCI
Homes also continued to deliver robust growth due to recognition of sales from
completed high-rise projects.
Net income contribution
of DMCI Homes improved 11 percent from P3.2 billion to P3.6 billion.
Continued improvement in
operational performance and a four percent increase in billed volume in 2015,
meanwhile, pushed net earnings contribution of affiliate Maynilad Water
Services to grow 17 percent year-on-year to P2.3 billion.
Construction unit D.M. Consunji
Inc. improved its gross profit margins from ongoing projects in 2015 which
drove its net income contribution to P628 million, a 35 percent hike from the
P464 million reported the previous year.
Net income contribution
from DMCI Mining Corp. also expanded 38 percent year-on-year to P501 million on
higher sales volume and streamlined operating costs which helped mitigate the
impact of declining nickel ore prices.
Meanwhile, off-grid
supplier DMCI Power Corp. contributed P382 million, energized mostly by higher
energy dispatch of its power plants in Palawan, Masbate and Oriental Mindoro.
For this year, Consunji
declined to provide profit guidance for DMCI but gave indications as to where
some of its businesses may be heading in terms of profitability.
Consunji said Maynilad’s
net income is expected to be at least 30 percent lower year-on-year this 2016.
“This year Maynilad will
start paying income tax and that is 30 percent of its income. Also, the
arbitration case remains unresolved,” Consunji said.
“Mining will also go
down due to low setting prices and delays in our permit in Zambales,” he added.
For its property
business, Consunji said sales and reservation should go up this year but net
income would likely be lower on fewer projects due for completion.
“Power should go up
because our expansion projects are now operational,” he said.
