DMCI profit slips to P2B in Jan-June

Listed DMCI Holdings Inc. reported on Tuesday that its net income plummeted to P2 billion in the first half of the year despite its subsidiaries displaying “resilience” amid the coronavirus pandemic.

In a filing, the Consunji-led firm said it recorded that amount, a 69-percent decrease from P6.5 billion in the first six months of 2019, after its consolidated earnings fell by 62 percent to P1.4 billion in the second quarter from P3.7 billion year-on-year.

“Most of our businesses showed resilience during the lockdown period, since they belong to essential industries like power, mining and water distribution,” DMCI Holdings Chairman and President Isidro Consunji said in the filing, referring to the community quarantines the government have imposed since mid-March to curb the spread of the coronavirus.

He also said the holding company was “severely affected” by low market prices, but added that Semirara Mining and Power Corp., DMCI Power Corp., DMCI Mining Corp. and Maynilad Water Services Inc. remained profitable in the period.

Excluding nonrecurring items, DMCI’s core net income in the quarter declined by 59 percent to P1.6 billion from P3.9 billion last year. This brings its core net income in the first half to P2.6 billion, a 61-percent drop from P6.7 billion year-on-year.

Semirara’s January-to-June core net income contribution of P1.3 billion was 64 percent lower than P3.5 billion last year, while DMCI Homes’ core income contribution of P38 million was a 97-percent drop from P1.2 billion year-on-year.

Earnings of D.M. Consunji Inc. sank by 79 percent to P92 million from P440 million, while DMCI Power’s income contribution grew by 10 percent to P256 million from P233 million.

DMCI Mining’s profit contribution improved by 6 percent to P184 million from P173 million, while Maynilad’s contribution tumbled by 24 percent to P847 million from P1.1 billion.

DMCI shares added 7 centavos or 1.97 percent to finish at P3.63 apiece on Tuesday.

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Article and Photo originally posted by The Manila Times last August 12, 2020 and written by Johannes Chua