The financial future of Filipino-led Alternergy Holdings Corporation is treading through favorable prospects as it logged net income upturn to P96.98 million in the initial quarter of fiscal year 2024 versus P1.66 million in the same period last year.

In a disclosure to the Philippine Stock Exchange (PSE), the company similarly reported slight escalation in gross profit to P32.33 million compared to last year’s P30.81 million – mainly attributing the relatively flattish outcome to “lower cost of sale of electricity.”

Gerry P. Magbanua, president of Alternergy, said among the ‘star performers’ in the company’s operating assets had been its Kirahon solar plant in Misamis Oriental, mainly due to “efficient management and maintenance.”

He expounded that the portfolio of solar assets of Solar Pacific CitySun Corporation (SPCC); as well as the Pililla wind farm of its subsidiary Alternergy Wind One Corporation jointly contributed “steady earnings.”

Magbanua sounded off that “Alternergy expects sustained performance for fiscal year 2024 upon full operations of the Palau solar PV (photovoltaic) + BESS (battery energy storage system) project.”

He emphasized that the company’s Palau project achieved mechanical completion last July; and has already been generating revenues at its testing and commissioning phase.

“Upon full commercial operations of the Palau project and the hydropower projects currently under construction as well as the soon-to-be constructed wind and solar projects, we expect a big boost to the group’s operating revenues,” Magbanua stressed.

Within the review period, Alternergy’s earnings before interest, taxes, depreciation, and amortization (EBITDA) logged remarkable 64.39% uptick to P120.47 million within July-September this year as against a leaner P73.28 million in a comparative period in 2022.

The company’s asset base, in general, had also been reinforced to P4.96 billion from the year-ago level of P4.87 billion; while its consolidated equity balance leveled off at P2.82 billion; and its debt-to-equity ratio remained solid at 0.64x.

As Alternergy advances implementation for its multiple projects, the latest major boost to its development portfolios had been the P1.45 billion worth of investment that state-run Government Service Insurance System (GSIS) has funneled into the company via subscription to its perpetual preferred shares 2 series A.

Beyond reinforcing its consolidated equity base to P4.27 billion, the pioneer RE firm conveyed “this will bring the company’s DE (debt-to-equity) ratio to an estimated 0.42x from 0.64x,” adding that “the move strategically positions Alternergy for future capital raising programs.”