DMCI to keep capex plans despite higher oil costs
DMCI HOLDINGS, Inc. executives said capital expenditures (capex) will remain unchanged despite higher oil prices linked to the Middle East conflict, although the company may review operating costs and project timelines.
“I think the committed capex will just keep going, no change in plans,” Isidro Consunji, DMCI Holdings chairman and chief executive officer, said during a briefing on Tuesday.
DMCI earlier said it would increase its capex budget for its subsidiaries to P24.6 billion this year, up 11% from P22.2 billion in 2025, to support residential construction, expand off-grid power capacity, and upgrade cement operations.
DMCI Holdings Executive Vice-President and Chief Financial Officer Herbert Consunji, who also serves as president and chief executive officer of Concreat Holdings Philippines, said the capex budget has already been finalized and will be implemented as planned.
“[But] of course, the operating costs will now be revisited because the price is different now,” he said, speaking for Concreat Holdings.
“It’s not just a matter of price, it’s a matter of availability. You may have money to buy it, but it’s not available because other suppliers have downgraded,” Mr. Consunji added.
He said that as costs are reviewed, funding plans will also be reassessed. “Everything will be reset — parang ganon. But we’ll never know what’s going to happen.”
DMCI allocated P2.9 billion for Concreat Holdings Philippines this year for plant capacity improvements, operational upgrades, and preventive maintenance.
In 2025, Concreat Holdings Philippines posted a net loss of P1.9 billion due to higher financing expenses and lower average selling prices, although the company has implemented operational improvements to support recovery.
Meanwhile, DMCI Homes President Alfredo R. Austria said some project launches may be delayed if current challenges persist.
“There will be a possible delay on the launches. Only the launch of the new projects might be delayed. But for existing projects, we have to push through because it’s already committed,” he said.
For 2026, DMCI Holdings will allocate P15.5 billion, or 65% of its capex, to its property arm DMCI Project Developers, Inc. (DMCI Homes).
DMCI Homes’ capex budget this year will fund ongoing and new project construction for four residential developments in Baguio, Laguna, Quezon City, and Taguig, covering premium, leisure, and mid-market segments, as well as land banking, depending on market conditions.
Cristina Gotianun, DMCI Holdings vice-chairman and Semirara Mining and Power Corp. president, said the company has implemented fuel-saving programs at the Semirara power plant, particularly during startup.
“So we are positioned very well to reduce our fuel, as well as at the mine site. We’ve always had this, because fuel is the single biggest cost of our operations. So we’ve always been very cautious and diligently putting all the programs in place to conserve fuel,” she said.
DMCI allocated P1.9 billion for Semirara Mining and Power Corp. this year, mainly for power plant maintenance. Last year, Semirara Mining and Power Corp. remained the group’s largest contributor with P7.3 billion, down 33% from P11.1 billion, due to softer energy prices, reduced shipments, and higher production costs.
Record coal production, power generation, and energy sales helped offset the impact of price normalization.
For 2026, DMCI has also earmarked about P3.3 billion for DMCI Power to fund 44 megawatts (MW) of new capacity in Palawan, Occidental Mindoro, and Calapan; P675 million for DMCI to re-fleet construction equipment and meet project requirements; and P300 million for DMCI Mining Corp.’s mine development initiatives.
On Tuesday, DMC shares rose by 1.05% to close at P9.60 each. — Alexandria Grace C. Magno
