Monday, February 26, 2018

Semirara reports P14.4-B consolidated net income, up 18%



Updated By Myrna M. Velasco

The consolidated net income after tax (NIAT) of Consunji-led firm Semirara Mining and Power Corporation (SMPC) had jumped 18 percent to P14.4 billion in 2017 from the year-ago level of P12.04 billion.
That reinforced the company’s earnings per share by 17 percent to P3.32 from previously at P2.83 per share.
SMPC said its earnings from its coal mining operations had been at P6.08 billion; while income of Sem-Calaca Power Corporation reached P4.55 billion; and Southwest Luzon Power Generation Corporation at P3.74 billion.
Prior to elimination of booked items, it was emphasized that the net income after tax of its coal business segment should have been at P9.04 billion, roughly 21 percent climb from P7.50 billion in 2016.
“This is exclusive of the dividend income of P2.5 billion in 2016 from SCPC and P1.0 billion each in 2017 from SCPC and SLGPC,” the company explained.
On its coal operations, it noted that “better coal profitability in 2017 is driven by increased average selling price and slight increase in volume sold.”
SMPC expounded that its “production and coal sales set new record highs at 13.2 million tons and 13.1 million, respectively.”
The average selling price of coal, on the other, had been higher by 20 percent to P2,268 per ton from P1,886 per ton  in 2016.
The company specified that if taken on stand-alone basis, Sem-Calaca Power logged net income after tax of P2.33 billion, which has been higher by 65-percent from P1.41 billion.
It emphasized that there had been two significant non-recurring transactions last year that had favorable impact on the firm’s profitability.
These primarily dealt with the partial recognition of income from disputed receivables from Power Sector Assets and Liabilities Management Corporation amounting to P330 million; and recording of accelerated depreciation amounting to P840 million relative to the life extension project of its units 1 and 2 in the latter part of 2018.

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