The tycoon Enrique Razon Jr.-backed utility reported a 5 percent drop in net income attributable to shareholders to P12 billion, even as revenues climbed 11 percent to P33.4 billion, its latest quarterly report showed.
Its East Zone concession, serving more than seven million people across eastern Metro Manila and Rizal, benefited from an 11 percent increase in average water tariffs, while billed water consumption remained largely flat.
The higher charges helped lift operating earnings, but interest expenses nearly doubled to P4.83 billion as Manila Water borrowed more for infrastructure projects, absorbed loans from its Wawa water supply venture and recognized more financing costs directly against earnings.
Investing in future supply
The Wawa investment forms part of efforts to secure additional water for Metro Manila, with Manila Water's bank debt increasing by P38.1 billion from the end of 2025 as it continued expanding its infrastructure network.
Newly completed projects also pushed depreciation higher, adding to expenses even as the company strengthened its capacity to meet future demand.
Outside its main concession, Philippine operations delivered 19 percent higher profits, while overseas earnings declined largely because last year's results included a one-time gain from the sale of an investment in Thailand.
With its East Zone concession extended until 2047, Manila Water has a longer runway to recover its investments through regulated water charges while building infrastructure to support future growth.
—Edited by Miguel R. Camus
