Nickel miner Marcventures Holdings, Inc. (MHI) continues to turn around its finances, reporting a net income of P137.52 million in the first half of the year—153 percent better than the P258.54 million net loss registered in the same period last year.
In a statement, the firm said unaudited revenues for the first half surged 555 percent to P1.16 billion from P177.4 million in the same period of 2019.
MHI started its turnaround last year when it reported a consolidated net income of P37.8 million from a net loss of P388.8 million in 2018 on the back of a growth in revenues to P1.43 billion in 2019 from P987.26 million the year before.
The firm’s operating subsidiary Marcventures Mining and Development Corporation posted a net income of P196.72 million in the first six months of 2020 from a net loss of P217.37 million in the same period last year.
In 2019, MMDC’s profits rose to P165.44 million from a net loss of P262.93 million.
According to MHI President Isidro Alcantara, the 2019 results were due to their increased tonnage and reduction of mining and overhead cost by almost 30 percent.
This also supported the first half figures which showed a net income of P196.7 million. For the month of June alone, MMDC reported a net income of P316.9 million.
“Early and strict implementation Mining Protocols under the MGB and LGUs allowed normal though delayed operations despite COVID 19,” Alcantara said.
He added that, “The Parent Company had to step in for 2019 and made wholesale changes by fully revamping Mine Management and making changes in MMDC Corporate Management to recover profitable operations. MMDC actually operated without a CEO for 2019 as the Board and the Holding Company, MHI, took an active part.”
The company is optimistic for 2020 as further increases in tonnage and the combination of cost efficiencies and improving nickel prices indicate continuing better prospects.
MHI reports that they also intend to develop their other mining property located in Surigao under BrightGreen Nickel in time for the improved market. They are also undertaking activities for their Bauxite Properties, the Aluminum raw material, in Samar prior to applying for their ECC and approval of Mining Project Feasibility.