POWER PRODUCER First Gen Corp. posted a nine-month attributable net income of $215.4 million, up 4% from the same period last year, as higher contributions from its hydropower portfolio offset declines in natural gas and geothermal earnings.
Total revenues for the January-to-September period fell 3.3% to $1.79 billion from $1.85 billion a year ago, mainly due to lower output from its natural gas and geothermal units, the company said in a statement on Tuesday.
First Gen’s hydropower segment, which accounts for 4% of the company’s total income, jumped 65% to $23 million, driven by higher energy sales from the 132-megawatt (MW) Pantabangan-Masiway power plants, which generated $13 million compared with $3 million previously.
The company attributed the hydropower gains to a higher starting elevation at the Pantabangan-Masiway plant, resulting in increased energy production.
The newly acquired 165-MW Casecnan hydropower plant, which First Gen took over in 2024, contributed $628 million during the nine-month period, according to the company.
Meanwhile, the natural gas business, representing 65% of total earnings, declined 8% to $138 million, largely due to losses at the 420-MW San Gabriel natural gas-fired power plant.
Other conventional plants including the 1,000-MW Santa Rita Power Plant, 500-MW San Lorenzo Power Plant, and 97-MW Avion Power Plant recorded higher recurring earnings, helped by interest savings from lower outstanding debt.
FGEN LNG Corp., operator of the Batangas offshore liquefied natural gas terminal, earned a recurring net income of $31 million.
Energy Development Corp. (EDC), First Gen’s geothermal subsidiary, posted a 36% drop in earnings to $38 million amid lower spot prices and higher interest expenses following drilling programs and project expansions, contributing 31% to total revenues.
EDC is completing 83 MW of geothermal capacity and 40 megawatt-hours of battery and energy storage projects.
“As a whole, we were happy to see First Gen’s net income steadily increase this year despite industry dynamics of lower electricity prices and softer demand,” First Gen President and Chief Operating Officer Francis Giles B. Puno said.
He added that the company is continuing negotiations with Manila Electric Co. for the extension of the power supply agreement for the Santa Rita gas plant.
First Gen is an independent power producer with a total installed capacity of 3,696 MW across natural gas, geothermal, hydroelectric, wind, and solar technologies. — Sheldeen Joy Talavera
