Mining News Philippines

Category: Earnings & Results

  • DMCI Holdings’ Q1 Profit Falls 9% as Coal, Cement Headwinds Offset Gains in Real Estate, Water

    DMCI Holdings’ Q1 Profit Falls 9% as Coal, Cement Headwinds Offset Gains in Real Estate, Water

    DMCI Holdings, Inc. (PSE: DMC) posted a 9% decline in first-quarter net income to ₱5.1 billion ($88 million), from ₱5.6 billion a year earlier, as stabilizing coal prices and the integration of its newly acquired cement business weighed on earnings.

    The diversified conglomerate cited stronger contributions from its real estate, water, nickel mining, and off-grid power units as helping temper the impact of softer energy prices and transition costs from its December 2024 acquisition of Concreat Holdings Philippines.

    “Market conditions today are very different from five years ago, but our businesses have adapted well,” DMCI Holdings Chairman and CEO Isidro A. Consunji said. “We continue to pursue organic growth across the portfolio, while laying the groundwork for a successful transformation of our cement operations.”

    Semirara Mining and Power Corporation, DMCI’s largest income contributor, posted ₱2.5 billion in earnings, down 31% year-on-year, due to moderating coal prices and a greater proportion of lower-grade shipments. However, stronger on-grid power sales partially offset the decline.

    DMCI Homes delivered a 56% jump in profit contribution to ₱1.4 billion, driven by newly recognized sales, rental income, forfeitures, and higher finance income. Associate Maynilad Water Services grew its earnings contribution by 39% to ₱926 million, supported by tariff adjustments and operational efficiencies.

    DMCI Power recorded a 2% rise in contribution to ₱270 million on the back of increased energy sales and expanded bunker-fired capacity in Palawan.

    DMCI Mining swung to a net income of ₱409 million from a ₱22 million loss last year, as it fully activated its Zambales Chromite Mining Company (ZCMC) operations, expanding the number of active mines.

    Meanwhile, D.M. Consunji, Inc., the group’s construction arm, saw its earnings contribution fall to ₱50 million from ₱98 million due to higher cash costs, project delays, and conservative revenue recognition.

    Newly acquired Concreat Holdings posted a ₱546 million net loss for the quarter, reflecting lower sales volumes and higher interest expenses. DMCI Holdings said integration efforts are underway to improve the cement unit’s operational and financial performance.

    Founded in 1995, DMCI Holdings remains the Philippines’ only listed conglomerate with construction and engineering as its core business. The company continues to focus investments domestically, with operations concentrated outside Metro Manila.

    Mining News Philippines

  • FNI Posts Strong Start to 2025 as Nickel Revenues Double on Higher Prices, Volumes

    FNI Posts Strong Start to 2025 as Nickel Revenues Double on Higher Prices, Volumes

    Global Ferronickel Holdings, Inc. (PSE: FNI), one of the Philippines’ largest nickel ore producers, reported first-quarter revenues of ₱1.21 billion ($21 million), more than doubling from a year earlier, as higher shipment volumes and stronger nickel prices fueled growth.

    Net income attributable to shareholders surged 1,568% to ₱177.3 million in the three months through March, compared to ₱10.6 million a year earlier. Earnings per share rose to ₱0.0346 from ₱0.0021.

    Mining revenues from FNI’s operations in Palawan jumped 105.6% year-on-year to ₱1.205 billion, with shipment volumes rising 32.5% to 505,459 wet metric tons (WMT). The company’s average realized nickel ore price climbed 50% to $41.13 per WMT, amid a constrained ore supply environment and strong demand from China.

    “The early shipment of medium-grade nickel ore to China sets a strong tone for the year,” said FNI President Dante R. Bravo. He added that the company remains focused on process optimization and navigating geopolitical risks to drive growth.

    Cost of sales rose 71.9% to ₱532.3 million on higher shipment volumes, while operating costs increased 55% to ₱433.3 million, partly due to timing differences in business tax settlements and provisions for input VAT impairment.

    Despite higher expenses, FNI said it remains committed to strategies that will expand its resource base and customer reach while strengthening its position in the global nickel supply chain.

    FNI, which is listed on the Philippine Stock Exchange, aims to capitalize on the growing demand for nickel, a key input for electric vehicle batteries and stainless steel production.

    Mining News Philippines

  • Semirara Q1 net income drops 33% on lower coal prices, stronger power segment cushions decline

    Semirara Q1 net income drops 33% on lower coal prices, stronger power segment cushions decline

    Semirara Mining and Power Corp (SMPC) reported a 33% drop in net income to ₱4.4 billion in the first quarter of 2025 from ₱6.5 billion a year earlier, as stabilizing coal prices weighed on earnings despite improved performance from its power segment.

    Quarter-on-quarter, SMPC’s net income rose 11% from ₱3.92 billion, driven by stronger electricity generation and sales, according to a company disclosure.

    Coal production rose 16% to 5.7 million metric tons (MMT), supported by better access to mine seams in its Narra pit. However, total shipments slipped 2% to 4.7 MMT on weaker domestic sales, with exports to China, Brunei and Vietnam holding steady at 2.7 MMT.

    The average selling price (ASP) for Semirara coal fell 17% year-on-year to ₱2,481 per MT, tracking weaker global benchmarks. The Newcastle Index dropped 16% to US$105.4, while the Indonesian Coal Index 4 slid 14% to US$49.3.

    Gross power generation climbed 9% to 1,535 GWh, following the restoration of SEM-Calaca Power Corp’s Unit 2 to 300 MW in May 2024. Total power sales increased 11% to 1,427 GWh, with 64% sold via the spot market.

    The group’s overall power ASP held nearly flat at ₱4.42 per kWh. While bilateral contract prices improved, spot market prices in the Luzon-Visayas grid declined 21% to ₱3.63 per kWh amid increased generation capacity.

    At the end of March, 40% of the company’s 840 MW dependable power capacity was under contract. SMPC retained 421.6 MW of net selling capacity for the spot market, excluding fluctuating station service use.

    SMPC said it will continue to focus on cost management, production optimization and contracting strategies amid a dynamic energy landscape. – MiningNewsPhilippines.com