Semirara Mining and Power (SCC) Q2 2025 earnings summary

Executive summary

• Net income and EPS declined 33% year-over-year in both Q2 and H1 2025, mainly due to softer coal and power prices and equity net loss from the cement associate.

• Revenues fell 14% to Php 31.33 billion in H1 2025, with both coal and power segments experiencing price pressures.

• Power segment led group earnings, contributing 58% in Q2 and 52% in H1, as energy prices moderated.

• Record-high coal production (11.3 MMT) and shipments (9.4 MMT) in H1, supported by expanded mining capacity and improved operations.

• Dividend payout totaled P8.5 billion, or P2.00/share, representing 43% of 2024 net income.

Financial highlights

• Q2 2025 revenues fell 18% year-over-year to Php 14.8 billion; H1 revenues down 14% to Php 31.33 billion.

• Q2 net income dropped 33% to Php 4.07 billion; H1 net income also down 33% to Php 8.42 billion.

• EBITDA margin at 44% in Q2 and 42% in H1, slightly lower than last year.

• Net income margin decreased to 27% from 34% last year.

• Cash and cash equivalents at Php 6.84 billion as of June 2025, down 28% from year-end 2024.

Outlook and guidance

• Coal production target set at 18 MMT for 2025, with expanded ECC raising annual mining capacity to 20 MMT.

• Power segment aims to contract up to two-thirds of net generating capacity to manage price volatility.

• Full-year capex guidance up 30%, focused on coal fleet expansion and power plant maintenance.

• Market risks include global demand volatility, regulatory shifts, and potential plant outages.

• Power spot prices projected to average P3.61/kWh in 2025, down 30% from 2024.