Financial and Operating Results for the half year ended June 30, 2025
(with comparatives for 2024)
- Consolidated Core Net Income (CCNI) grew by 11% to Php 962 million (mn); accounting for non-recurring income, Net Income Attributable to Equity Holders of the Parent recorded at Php 959 mn, 9% higher than the level in 1H2024.
- Power generation net income contribution reached Php 908 mn, representing 59% of total net income from the strategic business units (SBUs) as Vivant’s portfolio of assets delivered a total of 1,972 GWh to its customers.
- Net income contribution from 35%-owned distribution utility (DU) Visayan Electric Company (VECO) totaled Php 589 mn, largely flat when compared with 1H 2024 as higher operating expenses and finance costs, and a customer refund relating to unutilized regulatory-related costs offset the positive earnings impact of the 3% growth in volumes sold for the semester.
- Vivant’s water arm, Vivant Hydrocore Holdings, Inc. (VHHI) contributed Php 93 mn in 1H2025, a reversal of prior year’s loss contribution, driven by improved operations of the wastewater treatment plant in Puerto Princesa, Palawan, and the recognition of finance income from the concession asset of Isla Mactan Cordova Corporation (IMCC).
Financial Highlights:
Cebu, Philippines – Vivant Corporation (Vivant or “the Company”) (PSE: VVT) today reported Consolidated Core Net Income (CCNI) of Php 962 mn in 1H2025, recording an 11% increase from the prior year.
Adjusting for non-recurring income which includes a foreign exchange loss (net) of the Parent Company, insurance proceeds and a non-recurring cost reimbursement of certain power subsidiaries, Net Income Attributable to Equity Holders of the Parent Company stood at Php 959 mn, 9% higher than the level in 1H2024.
“Vivant recorded another double-digit growth in CCNI for the first half of 2025. The performance of Vivant Energy Corporation (Vivant Energy), spurred by its participation in the reserve market primarily drove our earnings for the semester. Despite the lower WESM prices in the first half of the year, the team’s collective effort secured strong returns,” said Arlo G. Sarmiento, Vivant Corporation CEO.
Vivant’s energy business contributed a total of Php 1.4 billion (bn) to the Company’s income. Power generation represented 63% of the total, contributing Php 908 mn. This was followed by the DU business which recorded Php 589 mn in contribution. However, the retail energy segment had a Php 62 mn loss contribution primarily due to a lower average selling price from the retail electricity supply (RES) sales in 1H2025.
Despite the lower overall volumes delivered from Vivant’s portfolio of conventional plants which saw a 21% decline to 1,972 GWh, the power generation business recorded a 25% increase in net income contribution driven by healthy margins from the Reserve Market (RM). Four (4) of Vivant’s plants participated in the RM, namely Cebu Energy Development Corporation (CEDC), Therma Visayas, Inc. (TVI), 1590 Energy Corporation (1590 EC), and Meridian Power, Inc. (MPI). RM nominations from these entities increased over six times year on year, as a result of the full six months of the RM operations in 2025, compared with only a month in 2024 due to a temporary market suspension.
Meanwhile, net income contribution from VECO was largely flat at Php 589 mn. DU revenues from the 3% increase in overall energy sales volumes were offset by the combined effect of the higher operating expenses and finance costs, and an ERC-mandated one-time refund to customers for unutilized regulatory related costs.
Vivant’s water business recorded a positive Php 93 mn income contribution in 1H2025, a reversal of the Php 10 mn loss recorded in the same period last year. This was driven by the recognition of finance income from the concession of 100%-owned IMCC. Recall that in April 2025, a 25-year JVA was signed between VHHI and Metropolitan Cebu Water District (MWCD) to supply Metro Cebu with water from the 20 megaliter per day seawater desalination plant of IMCC. Furthermore, income contribution from the 45%-owned Faith Lived Out Visions 2 Ventures Holdings, Inc. (FLOWS) increased by 13% to Php 5 mn due to improved sewage operations of Puerto Princesa Water Reclamation and Learning Center, Inc. (PPWRLC) as revenues from the wastewater business increased with higher volumes and an upward adjustment in service fee per cubic meter as provided by its service contract.
Consolidated revenues recorded at Php 5.4 bn, 3% lower than the Php 5.6 bn in 1H2024. The decline was primarily due to lower revenues from the sale of power as overall volumes delivered from Vivant’s generation assets were down during the semester, tempered by the recognition of finance income from the concession of the bulk water business.
Operating expenses increased by 33% to Php 860 mn largely driven by increased headcount and higher professional fees brought about by business expansion initiatives, and higher depreciation and amortization costs due to asset acquisitions in the latter part of 2024.
Vivant’s consolidated assets stood at Php 32.0 bn while total equity attributable to parent was at Php 20.4 bn. Total consolidated interest-bearing notes amounted to Php 7.0 bn.
Vivant’s current ratio as of the end of June 2025 stood at 2.02x versus 2.40x at year-end 2024, while debt-to-equity ratio was at 0.46x compared with 0.49x at year-end 2024.
Outlook:
“As we enter the second half of the year, we remain excited about the Company’s future while we aim for continued earnings growth. Our business development teams in energy and water are committed to launching impactful projects that will create solutions for our changing world,” added Mr. Sarmiento.
Earlier this year, the Department of Energy (DOE) officially commenced the fourth round of the Green Energy Auction (GEA-4) with the release of the Notice of Auction (NOA). In June, the Energy Regulatory Commission (ERC) released the Green Energy Auction Reserve (GEAR) Prices for GEA-4. Thereafter, the DOE announced the timeline of activities.
In support of the government’s push for energy security and sustainability, Vivant is preparing to participate in GEA-4 as the Company builds on the momentum toward its target power generation portfolio of 30% renewable energy (RE) (30% by 30) capacity by 2030.
100%-owned San Ildefonso Alternative Energy Corporation (SIAEC) is a project company that will operate a 22 MW solar facility in San Ildefonso, Bulacan. Project development is underway and target commercial operations date is by the fourth quarter of 2025.
100%-owned IMCC is in the final stages of testing and commissioning of its utility scale seawater desalination plant. Completion of the plant is expected within the year.
