Integrated energy company Semirara Mining and Power Corporation (SMPC) reported a 33% year-on-year decline in net income to P4.4 billion for the first quarter of 2025, down from P6.5 billion in the same period last year. The decrease reflects continued normalization of coal prices, although stronger performance in the power segment helped temper the impact.
“We navigated the softer energy market through improved power generation and coal production, strengthened contracting strategies, and disciplined cost management. These fundamentals will continue to guide us in an increasingly dynamic energy landscape,” said Maria Cristina C. Gotianun, SMPC President, Chief Operating Officer, and Chief Sustainability Officer.
On a quarter-on-quarter basis, group earnings rose 11%, from P3.92 billion, mainly driven by improved power contributions.
Coal Segment Performance
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Production increased 16% to 5.7 million metric tons (MMT), up from 4.9 MMT, supported by improved access to seams at the Narra mine following continuous pre-stripping in 2024.
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Total shipments declined 2%, from 4.8 MMT to 4.7 MMT, due to weaker domestic demand. Foreign shipments held steady at 2.7 MMT, buoyed by incremental exports to China, Brunei, and Vietnam.
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The average selling price (ASP) for Semirara coal fell 17%, from P2,978/MT to P2,481/MT, reflecting market stabilization and a higher share of lower-grade exports.
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Global benchmarks followed suit:
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Newcastle Index (NEWC) down 16%, from US$126.0 to US$105.4
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Indonesian Coal Index 4 (ICI4) down 14%, from US$57.2 to US$49.3
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Power Segment Performance
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Gross power generation rose 9%, from 1,408 GWh to 1,535 GWh, attributed to the full restoration of SCPC Unit 2’s 300 MW dependable capacity as of May 27, 2024.
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Power sales climbed 11% to 1,427 GWh, with 64% sold to the spot market.
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Average selling price for electricity slipped just 1%, from P4.47/kWh to P4.42/kWh, as higher bilateral contract prices helped cushion the 21% drop in spot prices in the Luzon-Visayas grid (from P4.61/kWh to P3.63/kWh).
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As of the end of Q1, 40% of SMPC’s 840 MW dependable capacity was under contract, in line with its goal to contract approximately half of its net selling capacity. 421.60 MW remained available for spot market sales, net of station service.
