DMCI Holdings Q2 net income down 9% to P8.2B

MANILA – Diversified engineering conglomerate DMCI Holdings recorded a 9-percent drop in consolidated net income for the second quarter from PHP9 billion to PHP8.2 billion due to lower contributions from the coal, nickel and construction businesses.

Excluding a nonrecurring gain of PHP37 million in 2022 attributable to DMCI gain on sale of land and a nonrecurring loss of PHP12 million this year due to Maynilad donations and net foreign exchange losses, consolidated core net income declined by 8 percent from PHP9 billion to PHP8.3 billion.

“Our bottom line was propped up by the strong rebound of our power and water businesses,” DMCI Holdings chairman and president Isidro Consunji said in a statement Wednesday.

“Although coal and nickel prices dropped double digits and construction volumes are on a downtrend, we were able to deliver our second highest Q2 (second quarter) ever,” he added.

DMCI Holdings also reported PHP15.9 billion in consolidated net income in the first semester, a 22-percent decrease from PHP20.3 billion last year, due to lower contributions from its coal, nickel, real estate and construction businesses.

The company's core net income matched its reported net income due to minimal nonrecurring items.

From April to June, net income contribution from Semirara Mining and Power Corporation dipped 5 percent from its record-setting PHP6.1 billion to PHP5.8 billion because of weaker coal selling prices, largely offset by higher coal shipments, power generation, electricity sales and average selling prices.

DMCI Homes contributed PHP1.4 billion, 8 percent higher from PHP1.3 billion, on the back of higher finance and other income.

Affiliate Maynilad delivered a 21-percent improvement in contribution from PHP393 million to PHP474 million due to the combined effect of improved billed volume, customer mix and average effective tariff.

Contribution from DMCI Mining fell by 51 percent from PHP510 million to PHP250 million mainly due to lower selling prices and foreign exchange gain, coupled with higher costs.

DMCI Power contributed PHP231 million, a 13-percent increase from PHP205 million because of higher electricity sales and lower fuel costs.

From PHP516 million, contribution from D.M. Consunji, Inc. plunged 73 percent to PHP139 million because of slower construction accomplishments, fewer projects and delays in major projects. (PNA)