Manila Water Co. has outlined a strengthened growth strategy framework to drive long-term expansion and value creation through core business growth and international market development.
The multi-year roadmap focuses on operational efficiency and new revenue sources across domestic and global markets. The strategy remains anchored on the East Zone concession, which provides the company with a stable base for predictable cash flows and long-term demand visibility.
Revenues from the East Zone grew 11 percent to P32.0 billion in 2025. This growth was driven by the full-year impact of approved tariff adjustments and favorable shifts in the customer mix.
The company said it is directing capital toward treatment and supply capacity, network modernization and efficiency enhancements to maintain service reliability.
It said building water security and network resilience is essential to ensuring sustainable expansion and securing the long-term fundamentals of the business.
The framework is further supported by a disciplined approach to capital deployment and portfolio management. By investing in infrastructure, the company aims to support steady volume growth while exploring new opportunities outside its primary concession area.
Manila Water reported a 51 percent surge in its 2025 net income to P15.8 billion, led by tariff adjustments, disciplined cost control and growth across its domestic and international portfolios.
The company’s consolidated operating revenues rose 10 percent to P40.2 billion from P36.6 billion in 2024. This performance was supported by a strengthened Growth Strategy Framework focused on sustaining its core East Zone concession while developing new revenue streams in the Philippines and abroad.
Earnings before interest, taxes, depreciation and amortization (EBITDA) grew 12 percent to nearly P29 billion, bringing the EBITDA margin to 72 percent. The company attributed the gains to favorable shifts in customer mix and sustained billed volume growth.
The East Zone concession remains the company’s primary anchor, providing a stable base for predictable cash flows. Revenues from this segment grew 11 percent to P32 billion in 2025, following the full-year impact of approved tariff adjustments and investments in network modernization.
Manila Water invested P28.2 billion in capital expenditures during the year, with 84 percent of the funds allocated to the east zone to reinforce water security and service reliability.
Outside the east zone, the company’s Philippine portfolio saw a 6 percent topline increase. Non-East Zone businesses delivered P1.6 billion in net income, bolstered by 5 percent billed volume growth in areas such as Cebu, Metro Ilagan and LARC. Rate adjustments in Clark, Boracay and Estate Water concessions also contributed to the domestic diversification.
International operations contributed P803 million to the bottom line. This was supported largely by gains from the divestment of its East Water investment as the company continues to seek opportunities in markets where it can apply expertise in network efficiency and sanitation.
To support scalable growth, the utility is implementing digital transformation initiatives including AI-assisted leak detection, smart metering and digital twins. These technologies are intended to reduce operating costs and improve asset performance over the long term.
Sustainability remains integrated into the company’s capital planning through watershed protection and emissions reduction programs. The company said these initiatives reflect its commitment to responsible operations and risk management as it expands into more communities.
