13 August 2020 – MANILA, Philippines — AC Energy Philippines Inc. reported a P2 billion net profit in the first semester of the year, a turnaround from a net loss last year, as it completed its restructuring program after it acquired Phinma Energy Corp.
In a disclosure to the Philippine Stock Exchange yesterday, AC Energy Philippines said it registered P1.96 billion in net income from January to June this year, a significant turnaround from a P552-million loss in the same period last year.
“We’re very pleased with the company’s turnaround and the successful integration of AC Energy’s on-shore operations,” said AC Energy president and CEO Eric Francia said.
“This allows us to make additional near-term investments in the country, which is much needed during these difficult times,” he said.
The company attributed the strong performance to the successful infusion of AC Energy Inc.’s on-shore assets and recent acquisitions since the Ayala Group acquired Phinma Energy from the Del Rosario family for P6.3 billion last year.
Last June 22, the Securities and Exchange Commission (SEC) approved the increase in the authorized capital stock of AC Energy Philippines and the issuance of additional primary shares to AC Energy Inc. to implement the asset-for-share swap that added 176 megawatts (MW) of attributable capacity.
The company also recognized earnings retroactively given the recent regulatory approval. Furthermore, the company acquired 145 MW worth of operating renewable energy plants early this year.
Higher availability of thermal plants and significantly higher contracted capacity through the competitive selection process (CSP) of Manila Electric Co. (Meralco) also contributed to the strong results.
South Luzon Thermal Energy Corp. (SLTEC)—the 2×135-MW coal-fired power plant in Calaca, Batangas—registered record availability of 95 percent during the period, while the peaking diesel plants reached 93 percent availability in the same period.
The company also commenced its 200-MW baseload and 110-MW mid-merit contracts with Meralco earlier this year.
The increase in contracted capacity offset the reduced volumes and lower spot market prices experienced during the lockdown period from mid-March.
Earlier this year, the company announced its plans to also integrate AC Energy’s international business.
As such, the company is in the process of changing its corporate name to AC Energy Corp., which is subject to regulatory approval.
Meanwhile, the company recently received the Philippine Stock Exchange’s nod to change its stock symbol from ACEPH to ACEN, effective Aug. 14.
The shift to ACEN signifies the forthcoming integration of AC Energy’s onshore and offshore business into a unified platform.
“ACEN aspires to become the largest listed renewables platform in Southeast Asia, with the goal of reaching 5,000 MW of renewables capacity by 2025,” Francia said.