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Meralco posts 10% jump in 2022 bottom line

The Manila Electric Company (Meralco) reported double-digit growth for the full-year 2022, driven mainly by higher energy sales volumes from its Singapore gas-fired power plant.

In a disclosure to the local bourse, Meralco reported a consolidated core net income of P27.1 billion in 2022, higher than the P24.6 billion recorded in the previous year.

Consolidated revenues climbed 34% to P426.5 billion, while its consolidated capital expenditures for the period amounted to P42.6 billion, including P19 billion that went to network capex.

The consolidated distribution utility energy sales volumes improved by 6% to 48,916 gigawatt hours (GWh), as volumes of Meralco jumped by 6% and Clark Electric Distribution Corp. by 16%.

“Despite a surge of Omicron cases in the early part of 2022, followed by the macroeconomic impact of the Russia-Ukraine War on commodity prices and supply for most of the year, sales demand continued its upward trajectory as businesses and public confidence recovered from the pandemic,” it said.

The commercial segment accounted for 36% of the sales mix for the year, up from the 33% recorded in 2021. The residential segment accounted for 35%, while the industrial segment had a 29% share.

“2022 was a year of recovery as we saw energy sales exceeding pre-pandemic levels — reflective of the return of strong power demand across all customer segments after more than two years of pandemic lockdowns,” Meralco president and CEO Ray Espinosa said.

“We continued to boost operational efficiency and ended the year with less and shorter service interruptions as well as improvements in system loss, which were achieved through our investments to strengthen our distribution network and through innovations that improve the service we deliver to our 7.6 million customers,” he added.

Meralco constructs, operates, and maintains electric distribution systems in the cities and municipalities of Bulacan, Cavite, Metro Manila, and Rizal, as well as certain areas in the provinces of Batangas, Laguna, Pampanga, and Quezon.

The firm counts as subsidiaries and associates Vantage Energy Solutions and Management Inc. and MeridianX Inc., acting as retail electricity suppliers in Luzon and the Visayas.

Shares in the company closed Monday’s trading up by P5.60 or 1.81% apiece at P314.80.—AOL, GMA Integrated News