Power distributor Meralco sees P50-billion earnings this year

POWER DISTRIBUTOR Manila Electric Co. (Meralco) is on track to hit its target earnings of P50 billion for this year, driven by its power generation business, its chairman said.

- By Sheldeen Joy Talavera

Ata press briefing on Monday, Meralco Chairman and Chief Executive Officer Manuel V. Pangilinan said the company is on track for “low double digits” over last year’s P45.1-billion earnings.

“The biggest growth will come from generation,” Mr. Pangilinan said.

Betty C. Siy-Yap, Meralco’s senior vice-president and chief finance officer, said Meralco saw its core net income increase by 9.5% to P14.4 billion from a year earlier, driven by solid contributions from its power distribution and generation businesses.

Revenues declined by 2% to P130.7 billion due to lower pass-through charges and the implementation of a refund.

For the six months ending in June, the power distributor reported a 10% increase in its core net income to P25.54 billion from P23.21 billion in the same period last year.

Of this total, the distribution business accounted for 54%, power generation contributed P13.7 billion or 37%, while retail electricity supply and non-electricity businesses accounted for 9%.