AYALA-LED AC Energy Corp. (ACEN) recorded a 68% increase in its attributable net income in the third quarter, mainly driven by higher revenues from the sale of electricity and growth in its operating capacity.
In a regulatory filing with the Philippine Stock Exchange website on Thursday, AC Energy said its net income attributable to equity holders of its parent company rose to P1.58 billion in July to September from just P938.56 million in the same period last year.
Its consolidated net income in the period went up 67% to P2.26 billion from P1.35 billion a year ago.
For the first nine months, AC Energy recorded an attributable net income of P4.27 billion, up 22% from P3.51 million last year.
“The continued recovery of electricity demand in Luzon, as well as the growth in new operating capacity from recent acquisitions and greenfield projects contributed to ACEN’s noteworthy performance,” it said in a statement.
Attributable output grew 17% to 3,378.1 Gigawatt hours (GWh) in the first nine months of the year, up from 2,897.3 GWh in the same period last year.
“Challenges in the availability of thermal assets, coupled with high WESM (Wholesale Electricity Spot Market) prices, led to an increase in the cost of purchased power during the period, but this was partially offset by improved wind regime,” the company said.
In the third quarter, the company’s revenues increased by 3.48% to P5.47 billion from P5.28 billion.
Revenues from the sale of electricity went up 3% to P5.42 billion due to higher demand for electricity following the lockdown, “increased retail contracts, and growth in operating capacity.”
AC Energy acquired additional stakes in the 48-megawatt (MW) ISLASOL and SACASOL solar farms in Negros Occidental last year.
The company’s 60-MW Gigasol3 and 120-MW SolarAce1 solar power plants have also started commercial operations in April and June 2021 “which also contributed to the increase.”
Meanwhile, rental income rose 75% to P15.1 million. Other revenue, which consists of management fees earned by the company from its joint ventures as well as bulk water sales, climbed 134% to P31.8 million.
“ACEN continues to be a direct beneficiary of the steady resurgence in consumer confidence in both the Philippines and the Asia-Pacific. The company continues to aggressively roll out renewable energy investments in the Philippines and across the region, and is well-positioned to address the tightening supply-demand dynamics, as electricity demand continues to recover and fossil fuels become more expensive,” AC Energy President and CEO Eric T. Francia said.
AC Energy has 2,875 MW of attributable capacity in the Philippines and across the region, of which 1,908 MW are already operating.
Shares of AC Energy rose 0.49% or six centavos to finish at P12.26 apiece on Thursday. — BADA