ACEN profit down 28% on lower output, prices
Lower domestic output and a decline in power prices softened ACEN Corp.’s earnings in the first quarter.
In a disclosure on Thursday, the listed renewable energy arm of the Ayala Group reported that consolidated net income dropped by 28 percent to P1.95 billion from P2.7 billion a year ago.
Its revenues were also slashed by 21 percent to P7.8 billion from P9.9 billion.
The group said the electricity generated by its clean energy facilities in its main market, the Philippines, fell by 14 percent to 489 gigawatt hours (GWh) from 570 GWh.
ACEN said weaker generation in the domestic market was due to the “lingering impact” of Typhoon Marce, which struck the country in November 2024. The powerful tropical cyclone damaged several turbines of the 160-megawatt (MW) Pagudpud and 70-MW Capa wind farms, forcing the company to temporarily suspend their operations.
Prices at the Wholesale Electricity Spot Market also went down during the period, affecting profits.
Expenses likewise climbed as more plants came online.
ACEN saw better output from its plants abroad, which generated 1,191 GWh, up 13 percent.
Aside from the Philippines, ACEN is also present in Australia, Vietnam, India, Lao PDR and Indonesia.
ACEN president and chief executive Eric Francia said the company’s financial performance “reflects some of the challenges of scaling renewables.”
“The company is strengthening its balance sheet with the planned equity infusion to ensure that we remain strong amidst these challenges, and sustain our growth initiatives in line with the global energy transition,” he said.
