DMCI Holdings (DMC) Q1 2025 earnings summary

Executive summary

• Q1 2025 consolidated revenues rose 16% year-over-year to Php 31.9 bn, driven by construction, real estate, power, nickel sales, and cement consolidation.

• Net income after non-controlling interests declined 9% year-over-year to Php 5.11 bn, mainly due to lower coal prices, fewer construction projects, and cement segment losses, partially offset by improved nickel, power, real estate, and water performance.

• Core net income fell 6% to Php 5.11 bn; EPS decreased from Php 0.42 to Php 0.38.

• Return on equity was 4% for the quarter.

• Earnings improved 33% sequentially from Q4 2024 and were 20% above pre-energy crisis Q1 2021 levels.

Financial highlights

• EBITDA margin narrowed to 35% (from 42%); EBITDA declined 4% to Php 11.11 bn.

• Net margin dropped to 21% (from 31%).

• Total cash costs increased 29% to Php 23.02 bn; operating expenses rose 50% to Php 3.58 bn.

• Ending cash balance increased 7% to Php 36.8 bn; total debt stable at Php 67.5 bn.

• Dividend payout at 42% of 2024 core net income, above the 25% policy.

Outlook and guidance

• Construction backlog stable at Php 40.7 bn; strong project pipeline with Php 171.3 bn in ongoing/prospect bids.

• Real estate to focus on RFO sales and broader offerings; unbooked revenues sufficient for over three years.

• Energy segment expects off-grid capacity to exceed 200MW in 2025; coal segment targets 16 MMT shipments.

• Cement turnaround expected with 1.5 MT plant completion and cost optimization.

• The group maintains a cautiously optimistic outlook for 2025, leveraging its diversified portfolio and focusing on operational improvements and strategic investments.