CEBU-BASED company Vivant Corp. posted a 26.6% decline in its second-quarter (Q2) attributable net income to P652.18 million, driven by higher costs of services and operating expenses.
Gross revenues grew by 59.2% to P3.63 billion from P2.28 billion, the company said in a stock exchange disclosure on Tuesday.
Sales of power increased by 88.2% to P2.86 billion. Revenues from management and service fees rose by 15.7% to P23.3 million, while engineering services income increased fourfold to P7.59 million.
The company’s gross expenses soared by 95.2% to P2.85 billion. Operating expenses climbed by 51.8% to P350.3 million, while the cost of services nearly doubled to P2.5 billion.
For the six months ending in June, Vivant posted an attributable net income of P877.39 million, lower by 40.2% from P1.47 billion a year ago.
Gross revenues increased by 41.8% to P5.56 billion.
Power sales grew by 77% to P4.39 billion, led by the improved revenue contribution of the company’s investments in oil-fired power plants, retail electricity supply, and solar rooftop businesses.
Management and services declined by 47.8% to P23.45 million, and engineering service income went up by more than three times to P9.59 million.
Meanwhile, the company’s gross expenses increased by 91.9% to P4.49 billion.
Operating expenses soared by 46.8% to P647.83 million, while the cost of services doubled to P3.84 billion.
Higher costs of services and operating expenses were attributed to increases in generation costs, salaries and employee benefits, taxes and licenses, outside services, professional fees, travel expenses, among others.
Vivant said in June that it plans to invest P15 billion in its renewable energy projects until 2030.
At the local bourse on Tuesday, shares in the company fell by 12.25% to close at P14.04 each. — Sheldeen Joy Talavera
