Diversified engineering conglomerate DMCI Holdings recorded a 9-percent drop in consolidated net income for the second quarter from P9 billion to P8.2 billion due to lower contributions from the coal, nickel and construction businesses.

Excluding a nonrecurring gain of P37 million in 2022 attributable to DMCI gain on sale of land and a nonrecurring loss of P12 million this year due to Maynilad donations and net foreign exchange losses, consolidated core net income declined by 8 percent from P9 billion to P8.3 billion.

“Our bottom line was propped up by the strong rebound of our power and water businesses,” said DMCI Holdings chairman and president Isidro A. Consunji.

“Although coal and nickel prices dropped double digits and construction volumes are on a downtrend, we were able to deliver our second highest Q2 ever,” he added.

DMCI Holdings also reported P15.9 billion in consolidated net income in the first semester, a 22-percent decrease from P20.3 billion last year due to lower contributions from its coal, nickel, real estate and construction businesses. The company’s core net income matched its reported net income due to minimal nonrecurring items.

Contribution Breakdown

From April to June, net income contribution from Semirara Mining and Power Corporation dipped 5 percent from its record-setting P6.1 billion to P5.8 billion because of weaker coal selling prices, largely offset by higher coal shipments, power generation, electricity sales and average selling prices.

DMCI Homes contributed P1.4 billion, 8 percent higher from P1.3 billion on the back of higher finance and other income.

Affiliate Maynilad delivered a 21-percent improvement in contribution from P393 million to P474 million due to the combined effect of improved billed volume, customer mix and average effective tariff.

Contribution from DMCI Mining fell by 51 percent from P510 million to P250 million mainly due to lower selling prices and foreign exchange gain, coupled with higher costs.

DMCI Power contributed P231 million, a 13-percent increase from P205 million because of higher electricity sales and lower fuel costs.

From P516 million, contribution from D.M. Consunji, Inc. plunged 73 percent to P139 million because of slower construction accomplishments, fewer projects and delays in major projects.