SMPC net income jumps 228% in fourth-quarter 2021

Integrated energy firm Semirara Mining and Power Corp. (SMPC) recorded its highest quarterly income in the fourth quarter of 2021, as average selling prices of coal surged by over 228% during the period.

SMPC said its net income expanded by nearly 20 times to P5.9 billion in the fourth quarter from P297 million recorded in the comparable period of 2020, marking the highest profit level for any given quarter.

This comes as average selling prices for the quarter soared by 228.80% to P4,452 from P1,354, driven mainly by global supply chain constraints and higher demand from overseas countries such as China and India, along with Europe.

The higher prices offset the decline in shipments which were nearly halved to 2.25 million metric tons from 2.5 million metric tons on the back of lower coal production in the third quarter caused by weather conditions.

The latest figures brought SMPC’s net income up 393% to P16.2 billion from P3.3 billion, with full-year coal production up 8%, coal shipments up 16%, and coal selling prices up 71%.

“Our results reflect the hard work of our people. They rose to the challenges of the pandemic and delivered exceptional value to our stakeholders,” SMPC President and Chief Operating Officer Maria Cristina Gotianun said in a regulatory filing.

SEM-Calaca Power Corp. contributed P3.3 billion, while Southwest Luzon Power Generation contributed P1.4 billion for the year, representing 154% and 1,564% growth respectively.

SMPC also counts as subsidiaries SEM-Cal Industrial Park Developers Inc., Semirara Claystone Inc., Semirara Energy Utilities Inc., Southeast Luzon Power Generation Corp., and St. Raphael Power Generation Corp.

Shares in SMPC closed Monday at P27.70, up P2.70 or 10.80% from last Friday’s finish of P25.00. — DVM, GMA News