MPTC earnings up 37% to P549M in Q1

MANILA, Philippines - Metro Pacific Tollways Corp. said its first quarter net earnings went up 37 percent to P549 million, fueled by increased toll revenues, lower financing costs and reduced provisions for probable losses on input value-added tax.

In its financial report submitted to securities regulators, MPTC said net toll revenues rose four percent to P1.67 billion, mainly due to the record-high traffic volume in the first quarter this year. Despite the increase in fuel prices, traffic volume was maintained due to the continuous efforts to make the North Luzon Expressway (NLEX) a better and safer travel route than alternative free roads.

Sales of trasnponders and magnetic cards declined 85 percent due to the outsourcing of the supply, sales and marketing of tarnsponders to Easytrip Services Corp.     

Cost of services likewise went up four percent due to higher operator’s fees brought by the increase in parameters used in the escalation formula and increase in additional services rendered by Toll Management Corp. (TMC).

Operator’s fee increased nine percent to P375 million while repairs and maintenance decreased 36 percent to P21 million.

Equity in net earnings of affiliate TMC rose 21 percent to P52 million, driven by the increase in revenues from additional services rendered to Manila North Tollways Corp., Bases Conversion Development Authority and subcontractors.

MPTC earlier said it was eyeing revenues of more than P7 billion. MNTC holds the concession to operate and maintain NLEX and is owned 67.1 percent by MPTC.

TMC operates the NLEX for MNTC.

MPTC is expected to start construction of the Harbour Link, divided into two parts, Segment 9 and Segment 10 with the completion of the entire project targeted for 2014.