NLEX to revisit 2019 revenue targets

MANILA, Philippines — NLEX Corp. said revenues in the first half were not at the level the company would have wanted due to delays in the implementation of its toll rate adjustments.

“It’s holding up, but because of the delay, it has to really catch up.  So it’s not where we wanted it to be because of the delays,” NLEX president and general manager Luigi Bautista said.

Bautista said the company would be revisiting its revenue targets for this year which has been set at P16 billion, a 33 percent increase from last year’s P12 billion.

“We’re going to have our mid-year performance review next week,” he said.

The Toll Regulatory Board (TRB) earlier approved two NLEX toll rate adjustments, authorizing the tollway company to collect a total of P10 additional toll fees in the open system and P0.18 per kilometer in the closed system, respectively, starting last March 20.

NLEX, however, decided to collect lower additional flat rates for the expressway sections covered under its open system to cushion the impact of the approved toll adjustments.

For the past seven years or since 2012, NLEX has not enjoyed the periodic toll rate increases covered by its concession agreement with the government, but it has not prevented the tollway company from making new investments to improve and enhance the services to its thousands of motorists.

The NLEX concession agreement allows for a rate increase every two years.

Bautista said the company is actively in discussions with the TRB regarding its pending toll rates adjustments.