MANILA, Philippines - Consunji-led
DMCI Holdings Inc. said it sees its net earnings rising 10 percent this year
from P9.59 billion in 2011.
“Our performance will be better than last
year. Barring unforeseen developments in China, net earnings should be less
than P11 billion this year or a 10 percent growth,” DMCI president Isidro
Consunji told reporters yesterday after the company’s annual stockholders
meeting.
Consunji said the improved operations
of its water distribution and real estate businesses would be enough to offset
flat growth at its coal mining unit.
Global coal output has declined due to
weaker demand in China and Europe. Further production cutbacks are expected in
the near term as cheaper alternatives and cost and currency headwinds cause
miners to struggle.
The mining business is the largest
contributor to DMCI’s bottom line followed by water and real estate.
Consunji said the contract to build
the 135-megawatt coal-fired power plant of South Luzon Thermal Energy Corp. ( a
joint venture between the Ayala Group and Phinma’s Trans-Asia Oil) as well as
the civil works for the expansion of the group’s Calaca power units, will
provide DMCI with better revenues and earnings.
Consunji said the holding firm is
gearing up to take part in the government’s Public-Private Partnership (PPP)
program as it positions itself to be both a driver and a beneficiary of the
country’s infrastructure progress. Construction unit D.M. Consunji will
participate as a contractor given its engineering and technical expertise and
experience, he said.
In the property segment, subsidiary
DMCI Homes Inc. is rolling out eight new projects worth P15.5 billion this year
to serve the largely underserved middle income market.
As the government is looking to revamp
and improve revenue generation and policy implementation in the mining
industry, DMCI is looking to expand its mining assets with plans to acquire a
nickel mining firm.
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