Diversified conglomerate DMCI Holdings Inc. on Tuesday reported a 69% growth in its consolidated net income in the past year, even as its fourth-quarter bottom line posted a double-digit decline.
In a disclosure to the local bourse, DMCI said its fourth-quarter net income fell 30% to P3.5 billion from P4.9 billion the previous year as growth in operating expenses exceeded revenues during the three-month period.
Its consolidated core earnings also posted a 30% decline to P3.6 billion from P5.1 billion.
"The declines were due to the combined effect of higher stripping costs and fuel expenses, as well as income tax expense, coupled with fewer real estate accounts that qualified for revenue recognition and the appreciation of the peso against the dollar late last year," the company said.
The company’s full-year consolidated net income rose to P31.1 billion from P18.4 billion, as consolidated revenues jumped 32% to P142.6 billion from P108.3 billion as coal and electricity prices increased.
Semirara Mining and Power Corp. reported P22.7 billion worth of contributions, reflecting a 145% increase from P9.2 billion on record shipments, higher spot electricity sales, and elevated market prices.
DMCI Homes saw a 2% climb in its contribution to P4.5 billion; DMCI Mining was up 7% to P1.3 billion; DMCI Power was up 28% to P742 million; and D.M. Consunji Inc. was up 55% to P587 million.
"2022 was a very good year for us. Bullish commodity and electricity markets brought a significant boost to our business," DMCI Holdings chairman and president Isidro Consunji said.
"We expect these markets to soften this year, so our strategy is centered around increasing volumes and optimizing cost management to maintain healthy margins," he added.
DMCI also has indirect ownership in Maynilad Water Services Inc. through a stake in Maynilad Water Holding Company Inc., which owns a majority stake in the water concessionaire.
Shares in the company were trading at P11.24 apiece as of 11:36 a.m. on Tuesday, down P0.20 or 1.75% from Monday’s finish of P11.44. —VBL, GMA Integrated News