Supply shortage sinks Manila Water's net income by 18% in H1 2019
MANILA, Philippines – Ayala-led Manila Water posted a net income of P2.9 billion in the 1st half of 2019, 18% lower than the same period in 2018 amid the water supply shortage.
In 2018, Manila Water earned 3.55 billion, 10% higher than in 2017.
The company reported 7% growth in revenues to P10.5 billion for January to June 2019, but this was weighed down by the impact of the bill waiver program worth P353 million to assist customers affected by the water shortage. (READ: Rene Almendras returning as Manila Water president)
Billed volume in the Manila concession declined by 2% due to lower water supply and service availability.
"While the shortage stemmed from the inadequacy of allocated raw water supply, Manila Water addressed prevailing challenges and restored water service to affected areas," the company said. (WATCH: EXPLAINER: It's the rainy season, but why does the water shortage continue?)
While earnings in the East Zone concession dropped, Manila Water reported higher profits outside Metro Manila.
Manila Water Philippine Ventures (MWPV) profits significantly grew by 31% to P303 million. MWPV provides water in Laguna, Boracay, Clark, as well as Ayala properties.
International operations under Manila Water Asia Pacific saw an 11% increase in earnings to P376 million, mainly driven by the equity share of East Water in Thailand. – Rappler.com