Alsons Consolidated Resources Inc. of the Alcantara Group, reported Friday a net income after tax of P120.3 million in the first six months of 2018, down 37 percent from P190.5 million year-on-year.
Alsons blamed the lower net income to higher costs and financing charges.
Revenues in the first half reached P3.48 billion, slightly lower from P3.58 billion on year.
General and administrative expenses increased 9 percent to P189 million from P172 million in the first six months.
Alson’s consolidated earnings before interest taxes depreciation and amortization (EBITDA)rose 11 percent to P1.15 billion from P1.03 billion in 2017.
“The substantial increase in consolidated EBITDA this year highlights our group’s solid operational efficiency,” vice president and chief financial officer Robert Yenko said.
The company is optimistic about future growth prospects, noting that in addition to three major projects coming on-line starting next year, it is actively pursuing new projects in the Visayas.
“Demand for power in the Visayas is likely to grow particularly in light of the economic recovery in Leyte and Samar. We are seriously looking at the Visayas region as a potential market particularly for our diesel capacity,” Yenko said.
Alsons, meanwhile, said its key projects were all on track for completion starting early next year until 2022, even as revenues in the first half fell slightly on year.
The projects include the second 105-megawatt section of the 210-MW baseload coal-fired power plant of Sarangani Energy Corp. in Maasim, Sarangani province, the 15.1-MW run-of-river hydro power plant at the Siguil River basin also in Maasim, Sarangani province, and the 105-MW baseload coal-fired power plant of San Ramon Power Inc. in Zamboanga City.
Alsons said construction of the Sarangani Energy Section 2 was more than 80 percent complete. It will start commercial operations within the first quarter next year.
The first 105-MW section of the Sarangani Energy plant began operating in April 2016. It delivers power to over three million people in the General Santos-Sarangani area and other parts of Mindanao.
Sarangani Energy 2, which is expected to begin commissioning within the last quarter of this year, meanwhile, is set to contribute another 105 MW of baseload power to residents of South Cotabato, Davao del Sur, Zamboanga del Norte, Zamboanga del Sur, Cagayan de Oro City, and other key areas of Mindanao.