Consunji-led Semirara Mining and Power Corp. (SMPC) is seeking to broaden its production horizon this year to offset the significant earnings contraction triggered by the slump in global commodity prices and rising operational expenses.

In a disclosure to the Philippine Stock Exchange on Wednesday, March 11, SMPC reported that its consolidated net income of ₱13.1 billion in January to December in 2025, a 33 percent decline from the ₱19.6 billion recorded in 2024.

The SMPC’s bottom line was pressured by weaker coal and electricity benchmarks, cooling shipment volumes, and higher production costs, which ate into margins.

Market volatility was particularly pronounced in the power sector, where average prices on the Wholesale Electricity Spot Market plunged 27 percent to ₱3.73 per kilowatt-hour from ₱5.15 a year earlier.

Pricing pressure extended into the final three months of the year, with fourth-quarter net income retreating 19 percent to ₱3.2 billion as both the coal and power segments posted softer performance.

Despite the financial headwinds, Semirara recorded a milestone in its upstream operations. Coal production surged 24 percent to 19.9 million metric tons from 16 million metric tons in 2024.

The output boost follows an Environmental Compliance Certificate from the Department of Environment and Natural Resources, which authorized an annual capacity of 20 million metric tons. This ramp-up comes as the company nears the twilight of its primary operating contract on Semirara Island in Antique, which is scheduled to expire in July 2027 after nearly five decades of activity.

“Prices were softer this year, but our operations still delivered record coal production and electricity sales,” Maria Cristina Gotianun, SMPC president, said in the statement.

She noted that the company is focused on broadening its market reach while maintaining high availability across its fleet of power plants.

To mitigate the impact of fluctuating regional demand, the company has expanded its export footprint, including initial shipments to Indonesia. However, total shipments for the year fell seven percent to 15.4 million metric tons, weighed down by sluggish appetite for lower-calorie coal grades.

The average selling price for Semirara coal followed the global downward trend, sliding to ₱2,302 per metric ton.

In the power division, improved plant reliability drove a seven percent increase in total sales to 5,296 gigawatt-hours. Gross generation rose to 5,695 gigawatt-hours, with the company opting to sell 54 percent of its output into the spot market to capitalize on real-time demand, while the remaining 46 percent was tied to bilateral contracts.

Currently, about 42 percent of Semirara’s 860-megawatt capacity is covered by long-term contracts.