Manila Water Company more than doubled or up by 108 percent its net income to P2.29 billion in the first quarter of 2023 from the P1.1 billion earned in the same period last year.
In a disclosure to the Philippine Stock Exchange, the utility said the much higher profits came on the back of a 44 percent growth in revenues to P7.38 billion in the first quarter of the year from the P5.14 billion posted in the comparative period of 2022.
Manila Water also posted a 23 percent growth in other income to P176 million from P143 million while it equity share in profits of associates dipped 7 percent to P159 million from P171 million.
It also booked a P6 billion gain from foreign exchange, a 102 percent turnaround from forex losses of P239 million in the first three months of 2022.
Cost of sales and operating expenses rose by a slower 26 percent to P2.78 billion in the first quarter of 2023 from P2.2 billion in the same period last year.
Manila Water reported a 24 percent growth in total attributable billed volume to 325.28 million cubic meters (mcm) from 263.3 mcm last year of which 124.8 mcm was from the East Zone Concession (up 6 percent from 117.6 mcm last year).
Subsidiary Manila Water Philippine Ventures, which provides water services in the provinces, reported a 2 percent improvement in billed volume to 36.5 mcm from 35.7 mcm.
On the other hand, Manila Water Asia Pacific posted a 49 percent growth in billed volume to 164 mcm from 110.1 mcm from its overseas operations, most in Vietnam.
Meanwhile, Manila Water disclosed that a seventh Amendment to the Revised Concession Agreement between the Metropolitan Waterworks and Sewerage System and Manila Water dated March 31, 2021 was signed by the parties on May 10, 2023.
“The parties agreed that the RCA and the other amended provisions shall be deemed effective as of June 29, 2022, with the Republic issuing a new Undertaking Letter effective as of July 1, 2022,” the firm said.
Contacted for comment, the utility has yet to issue a statement regarding the details in the RCA and its impact on water rates.