DMCI Holdings (DMC) Q4 2024 earnings summary

Executive summary

• 2024 marked a milestone year with major expansions, including the acquisition of Cemex Holdings Philippines, the launch of the ZCMC nickel mine, and DMCI Homes' entry into Visayas with Kalea Heights, the largest condominium in Cebu City.

• Consolidated net income declined 21% year-over-year to ₱18.98B, mainly due to lower contributions from coal, real estate, construction, and nickel mining, partially offset by record highs in water and off-grid power segments.

• Total revenues dropped 17% to ₱102.38B, reflecting weaker commodity and power prices, reduced construction and real estate activity, and lower real estate revenue recognition.

• Second-highest dividend payout in corporate history, totaling ₱15.93B (10.7% yield).

• Diversified portfolio and record-high water utility and off-grid power contributions helped cushion the decline.

Financial highlights

• FY 2024 net income: ₱18.98B, down 21% from ₱23.98B in 2023.

• FY 2024 revenues: ₱102.38B, down 17% year-over-year.

• EBITDA: ₱39.80B, down 20%; core EBITDA at ₱32.6B, down 27%.

• Return on equity at 17% for FY 2024.

• Total assets grew 14% to ₱288.4B, liabilities up 25%, and equity up 9% after the ₱10B preferred share issuance for CHP acquisition.

Outlook and guidance

• CAPEX projected to rise 47% to ₱70B in 2025, led by Maynilad and increased spending in real estate, cement, and mining.

• 27% capacity growth expected in 2025 with new power and wind projects; focus on boosting sales from existing real estate inventory and expanding payment channels.

• Coal and power prices expected to stabilize; nickel prices seen to gradually rebound.

• Cement segment (CHP) turnaround efforts underway, with capacity expansion and commercial operations planned.

• Maynilad to implement further tariff adjustments and intensify service investments.