First Gen Corporation, the clean and renewable energy arm of the Lopez Group, has announced an attributable recurring net income of Php 8.7 billion for the first semester of 2026, marking a slight increase from Php 8.6 billion recorded during the same period in 2025.
This steady financial performance was achieved despite factoring in the strategic divestment of a 60% stake in its natural gas portfolio to Prime Infrastructure Capital, Inc. (Prime Infra) in November 2025. Consequently, the current period reflects First Gen’s 40% share of net income from operating natural gas plants and its 20% stake in the Interim Offshore LNG Terminal.
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Attributable Recurring Net Income: Php 8.7 billion (up from Php 8.6 billion in 1H 2025).
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Total Consolidated Revenues: Php 41.1 billion, representing a 73% surge (Php 17.4 billion increase) from Php 23.7 billion in the previous year, propelled by higher sales volumes and better electricity prices.
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Revenue Contributors:
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73% — Geothermal, wind, and solar portfolio (EDC)
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8% — Hydroelectric power plants
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19% — Other subsidiaries and parent company
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1. Geothermal, wind, and wolar (Energy Development Corporation – EDC)
EDC delivered an exceptional performance, with its attributable recurring income nearly doubling to Php 3.8 billion, a 97% increase from Php 1.9 billion in 1H 2025.
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Drivers: Improved steam availability, higher contracted electricity prices, and greater volumes sold across most geothermal plants.
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New Revenue Streams: EDC’s three Battery and Energy Storage System (BESS) projects—which commenced commercial operations between September and December 2025—began generating fresh revenues from ancillary services.
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Challenges: The Burgos Wind facility experienced underperformance due to lower wind yield and outages. Additionally, EDC faced higher interest expenses from increased debt associated with its aggressive drilling operation program and project expansions (88.6MW of geothermal growth and 40MWh of BESS completed in 2025).
2. Hydroelectric portfolio
The hydro platform contributed Php 433 million to recurring earnings in 1H 2026, down 48% from Php 826 million in 1H 2025:
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Pantabangan-Masiway Power Plants (PMHC): Outperformed with an attributable recurring net income of Php 732 million (up from Php 690 million), bolstered by a high starting water reservoir elevation at the beginning of 2026, increased irrigation needs, and favorable market prices.
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Casecnan Power Plant: Recorded an attributable recurring net loss of Php 304 million (compared to a net income of Php 140 million in 2025), impacted by lower water volume and interest expenses on debt held for six months before being subsequently prepaid.
3. Natural gas portfolio
Equity in net earnings from the streamlined gas portfolio registered at Php 4.0 billion, primarily due to lower operating expenses. For comparison, the 100% income from the gas portfolio recorded as Net Income from Discontinued Operations stood at Php 7.5 billion in the previous year.
“Pantabangan Masiway started 2026 well with high water elevation at its dam, and this enabled the plants to provide the power needed during the scorching summer months. However, our hydro plants are now slowly feeling the effects of El Niño as dry spells and droughts have resulted in minimal incremental water elevation. This will affect Casecnan more as its generation is normally higher from May to November,” stated First Gen President and COO Francis Giles B. Puno.
“Fortunately, the strong 2026 performance of the geothermal portfolio continues as more steam is harnessed, made possible by the drilling program launched in 2024. Our new battery projects also continue to contribute to revenue growth, and contracted and spot market prices have been better this year.”
