Semirara Mining and Power (SCC) Q3 2025 earnings summary

Executive summary

• Net income and EPS declined 53% in Q3 and 37% for 9M 2025 year-over-year, mainly due to lower energy prices, higher production and noncash costs, and equity net loss from a cement associate.

• Power segment led group earnings, contributing 91% in Q3 and 57% in 9M, as coal contribution dropped sharply.

• Record-high coal production and shipments achieved, but average selling prices fell due to market normalization and higher share of lower-grade coal.

• Financial position remains healthy with reduced debt, strong liquidity, and significant outflows for dividends, capex, and debt service.

• Special dividends of Php 5.3 bn declared in October, with 2025 payout reaching Php 13.8 bn.

Financial highlights

• Q3 2025 revenues down 9% year-over-year to Php 11.93 bn; 9M revenues down 13% to Php 43.26 bn.

• Q3 net income at Php 1.48 bn, down 53%; 9M net income at Php 9.89 bn, down 37%.

• Core EBITDA margin slipped to 32% in Q3 and 39% in 9M, from 36% and 43% last year.

• Return on equity (ROE) at 17% for the nine-month period.

• Book value per share at Php 13.62 as of September 2025.

Outlook and guidance

• Challenging outlook due to softer global demand, price volatility, and regulatory risks.

• Coal segment targets 19–20 MMT production and 15.5–16 MMT shipments for 2025, with 54% domestic and 46% export mix.

• Power segment aims for 96% target availability and 40% contracted capacity, with planned outages scheduled.

• Full-year capex expected to rise 11%, mainly for coal investments tied to ECC expansion.

• Coal prices expected to remain neutral for the rest of 2025, with NEWC projected at US$104.7 and ICI4 at US$45.3.