DMCI Holdings posts all-time high earnings in 2nd quarter

MANILA, Philippines — DMCI Holdings of the Consunji Group has recorded its highest-ever second quarter and first half net income on the back of strong growth from subsidiaries during the period.

DMCI Holdings chairman and president Isidro A. Consunji said elevated commodity prices boosted results.

“We had a very strong first half because of elevated market prices. If the current trend holds till October, we hope to declare another round of special dividends for our shareholders before year-end,” Consunji said.

Second quarter income grew 73 percent to P9 billion from P5.2 billion, largely driven by higher coal, electricity and nickel prices, coupled with higher revenue recognition from its real estate business.

Core net income during the same period grew by 113 percent to P9 billion, after excluding non recurring gains of P37 million this year and P1 billion last year relative to the re-measurement of deferred tax liabilities as a result of the CREATE law.

This brought first half income to P20.3 billion, up 114 percent from the P9.5 billion recorded a year ago.

Excluding minimal nonrecurring gains this year of P36 million and P1.2 billion last year due to CREATE law, core net income from January to June surged by 144 percent to P20.3 billion.

Last April, DMCI Holdings declared special dividends of 14 centavos per share on top of regular cash dividends in the amount of 34 centavos per share.

Semirara Mining & Power Corp.’s contributions accelerated by 161 percent to P6.1 billion from P2.3 billion on the back of all-time high average coal selling prices and higher spot sales volume amid elevated market prices.

DMCI Homes contributed P1.3 billion, 63 percent better than the P804 million recorded last year owing to higher revenue recognition from ongoing projects and upward adjustment in selling prices.

Infrastructure and construction arm, D.M. Consunji Inc. grew its contributions by 467 percent to P516 million from P91 million due to the completion of some projects and conservative revenue take-up the previous year.

DMCI Mining accounted for P510 million, up 27 percent from P403 million primarily due to higher average selling prices for nickel ore.

Contributions from DMCI Power jumped by 35 percent to P205 million because of higher electricity sales volume and prices.

On the other hand, Maynilad Water Services Inc. saw a nine-percent drop in contributions to P393 million from P431 million as billed volumes mostly stayed the same.