LOPEZ-LED holding company First Philippine Holdings Corp. (FPH) has allocated a P57-billion capital expenditure (capex) budget for 2025 to drive the expansion of its renewable energy and real estate segments.
FPH’s capex for 2025 is lower than the previous year’s, FPH Chief Finance Officer Emmanuel Antonio P. Singson told reporters on the sidelines of the company’s annual stockholders’ meeting last week.
“Last year’s total (capex) is a lot higher because we purchased Casecnan (hydroelectric power plant). Now, it’s a lot lower,” he said.
Mr. Singson said $601 million (P33.5 billion) of the capex will be allocated to the power business led by First Gen Corp. and its subsidiary, Energy Development Corp. (EDC).
“For First Gen, that’s primarily through EDC. They’ll fund it (capex) through debt at the EDC level. They’re planning to borrow about P27 billion in 2025,” he said.
About P22 billion in capex will be allocated to real estate units Rockwell Land Corp. and First Philippine Industrial Park (FPIP), while the remaining capex will go to its other businesses, Mr. Singson said.
Mr. Singson said FPH does not have any fundraising plans at the parent level, as financing will be carried out through its subsidiaries.
“The subsidiaries will be able to raise funding using their own leverage, primarily through bank debt, bilateral loans, or syndicated club loans,” he said.
FPH’s core business interests include clean and renewable energy, real estate, manufacturing, construction, healthcare, and education.
Francis Giles B. Puno, FPH president and chief operating officer, said during the stockholders’ meeting that the share of gas projects in the group’s total assets is expected to further decline this year as the company expands its renewable energy portfolio.
He added that the conglomerate remains committed to the long-term success of its healthcare and education businesses despite challenges last year.
“In 2024, we established a task force to refine its business models and establish a clear path to profitability, ensuring it can deliver equitable access to quality and affordable healthcare and education in the years to come,” he said.
“The road ahead will bring challenges, but we face them with confidence, clarity of purpose, and a disciplined, hardworking, and talented organization. We remain committed to doing well so we can do good, delivering long-term prosperity while staying true to our mission,” he added.
For the first quarter, FPH posted a 20% increase in attributable net income to P4.9 billion, driven by higher earnings across all major business segments. Consolidated net income rose by 12% to P8.5 billion.
Total revenue grew by 6% to P41.3 billion. Electricity sales rose by 1% to P33.87 billion due to stronger topline performance of natural gas and hydroelectric plants.
Real estate sales climbed by 26% to P3.1 billion on the back of higher sales bookings by Rockwell Land.
FPH shares were last traded on May 30, up by 0.82% or 50 centavos to P61.50 each. — Revin Mikhael D. Ochave
