ACEN Corp. said Tuesday its consolidated net income dropped 88 percent in the first half of 2025 to P763 million from a year ago, largely due to a P2.7-billion impairment relating to the Lac Hoa and Hoa Dong wind farms in Vietnam.
ACEN said in a statement Tuesday that excluding this one-off booking and the P1.35 billion valuation gain in 2024, net income fell 24 percent over the same period, impacted by depressed electricity spot market prices and increased depreciation effects.
It said despite these headwinds, attributable renewables output grew 9 percent year-on-year to 3,228 gigawatt-hours (GWh), driven by new contributions from international plants.
“ACEN continues to face macro and sectoral headwinds in 2025, underscoring the challenges of energy transition. The company’s underlying health and long-term prospects remain robust, and we have been leveraging opportunities to increase contracted capacities and expand investments in energy storage,” said ACEN president and chief executive Eric Francia.
ACEN said first-half results reflect challenges in key markets, particularly in the Philippines and Australia. In the Philippines, lower year-on-year prices in the Wholesale Electricity Spot Market (WESM) coincided with the company’s increased net seller position.
Both markets also experienced lower solar irradiance and higher plant-related costs including depreciation and, in the Philippines, ongoing wind turbine repairs.
“Our teams are actively addressing the various challenges encountered during the quarter, with a relentless focus on execution. We expect to operationalize ACEN’s capacity at a more calibrated pace, ensuring that margins remain optimal at all levels,” said ACEN chief finance officer and chief strategy officer Jonathan Back.
ACEN’s renewable energy plants in the Philippine market generated 928 GWh, down 9 percent year-on-year, due to weaker solar resources, ongoing turbine repairs at the 160 MW Pagudpud Wind and 70 MW Capa Wind.
Most of the affected capacity is on track to be restored by the fourth quarter of 2025, in time for the next high wind season, the company said.
ACEN said it was also making steady progress on the 345-MW first phase of the Quezon North Wind project, with its dedicated jetty port nearing completion and earthworks ongoing.
Domestic results were further affected by a low spot market environment in the first half of 2025, as WESM prices declined 32 percent year-on-year to P3.8 per kilowatt-hour. The price drop was driven by a combination of cooler weather, slower demand growth, and increased generation capacity.
This impacted margins of ACEN’s net selling position of 1,122 GWh in the first half.
ACEN also booked a one-time non-cash impairment, in the second quarter, of $ 50.2 million relating to the Lac Hoa and Hoa Dong wind farms in Vietnam, which contribute a combined attributable capacity of 48 MW.
Despite lower generation from the Philippines and Australia, ACEN’s total attributable renewables output grew by 9 percent year-on-year to 3,228 GWh.
The company’s international portfolio delivered 2,300 GWh of renewable energy, marking a 19 percent increase over the second quarter of 2024, driven by strong contributions from Indonesia, Vietnam, and other international projects.
