Tycoon Edgar Saavedra’s Citicore Renewable Energy Corp. (CREC) posted a sharp jump in first quarter earnings as newly energized solar plants began contributing more meaningfully to revenues and margins.
Net income rose 58 percent to P364 million while earnings before interest, taxes, depreciation and amortization (ebitda) climbed 53 percent to P593 million, signaling improving profitability as the company scales up its renewable energy portfolio.
Revenues reached P1.14 billion, with electricity sales accounting for 85 percent of the total as CREC increasingly shifts toward recurring power generation income.
Managements’ view
CREC president and CEO Oliver Tan said the company is starting to see stronger returns from newly energized solar projects, with more capacity expected to come online in the second quarter.
“Our Binalonan, Bolbok, and Pagbilao solar plants are scheduled for energization in the second quarter, and when those facilities come online, our revenues and earnings will reflect the full scale of what we have built,” he said in a statement on Friday.
Expansion pace accelerates
CREC recently energized solar projects in Pangasinan and Negros Occidental, bringing its gross renewable energy capacity to 791 megawatt-peak.
The company said more facilities in Pangasinan, Batangas and Quezon are scheduled for energization in the coming quarters as testing and commissioning activities continue.
Race toward 5 gigawatts
CREC said the latest energization milestones form part of its government-backed GEA-2 commitments and reinforce its ability to rapidly move projects from development to commercial operations.
The company is targeting five gigawatts of renewable energy capacity within five years as demand for cleaner and more secure power sources continues rising in the Philippines.
—Edited by Miguel R. Camus
