In the six months ending June this year, DMCI’s net income amounted to P843.75 million compared with P2.43 billion for the corresponding period last year. The 2005 figure, however, included a non-recurring gain on sale which amounted to P2 billion.
Sales and services fell to P2.19 billion in the period April to June this year from P2.38 billion the same period a year earlier while cost of sales also dropped to P1.14 billion from P1.82 billion.
Gross profit, on the other hand, almost doubled from P565.86 million to P1.05 billion.
DMCI said income from operations grew 94 percent to P844 million attributable to recurring income from the coal and real estate businesses and the significant improvements experienced in the construction business.
DMCI coal unit Semirara Corp., on the other hand, reported a net income of P604.79 million in the first half this year, 13 percent lower than the previous level. Revenues, on the other hand, reached P2.77 billion, up 20 percent from P2.31 billion in 2005. Of the total revenues, P2.71 billion came from coal sales while P53.01 million were earnings from Calaca coal handling operations.
Gross profit amounted to P804.27 million, slightly lower than P830.12 million a year ago.
Interest and financing charges surged to P113.96 million compared with only P37.42 million as the company availed itself of more loans from foreign banks and suppliers and various letters of creditors.
Semirara said the foreign exchange fluctuation which was heavily felt towards the end of the semester, wiped out the huge unrealized foreign exchange gain of P51.97 million recognized in the first quarter and even ended with an unrealized foreign exchange loss of P11.41 million when the exchange rate shot up to P53.587 to the US dollar.
Deliveries to other markets comprised 44 percent of total first half sales. Power plants accounted for most of coal sales at 68 percent, cement industry (31 percent), paper mill and fertilizer company (one percent).