Thursday, November 22, 2012

EDC Makes a Turnaround in Income

Energy Development Corp. (EDC) posted a net income of Php8.57 billion in the first nine months of the year which is a significant turnaround from the Php488 million net loss incurred in the same period a year ago.

The company said that subsidiaries Green Core Geothermal Inc. (GCGI) and First Gen Hydro Power Corp. (FGHPC) provided huge contributions as these registered net incomes of Php2.16 billion and Php2.77 billion, respectively.

GCGI’s net income came from the operations of the 305-megawatt Tongonan I and Palinpinon power plants while FGHPC drew their income from the sale of electricity and ancillary services from the Pantabangan-Masiway hydroelectric plants.

Meanwhile, local equities market continued to breach all-time highs during today’s trading session, with the main-share index reaching as high as 5,553.57 before settling 33.60 points, or +0.61%, higher to close at 5,534.18. AC (+4.90%) led index gains, as investors absorbed news of a possible acquisition of Lucio Tan-led PNB by Ayala-led BPI.

If the deal pushes through, BPI would already be as big as industry leader BDO (+1.32%) in terms of assets. Other banks such as SECB (+1.86%), CHIB (+4.28%) and RCB (+9.90%) were bought up as well on speculation of higher valuations for the sector.

Market breadth was positive with 92 advances against 75 declines and 41 issues unchanged. Value turnover soared to Php14.92 billion.