Integrated energy company Semirara Mining and Power Corp. (SMPC) posted a net income of Php4.1 billion in the second quarter of 2025, down 33% from Php6.1 billion in the same period last year. The decline was primarily due to the continued stabilization of coal and electricity prices.
“While energy prices eased, we ramped up coal production and boosted power generation. By keeping our costs under control and operating more efficiently, we were able to cushion the impact of weaker prices,” said SMPC President, Chief Operating Officer, and Chief Sustainability Officer Maria Cristina C. Gotianun.
From April to June, the average Newcastle Index dropped 26% year-over-year, from US$135.60 to US$100.50 per metric ton. The Indonesian Coal Index 4 also declined 16%, from US$55.00 to US$46.40.
Spot electricity prices in the Luzon-Visayas grid plunged 42%, from Php6.91 per kilowatt-hour to Php4.04/kWh.
Quarter-on-quarter, SMPC’s net income slipped 6% from Php4.35 billion in the first quarter, as weaker coal performance offset improved results from the power segment.
For the first half of 2025, consolidated net income likewise fell 33% to Php8.4 billion from Php12.6 billion in the same period last year, as energy prices continued to normalize from elevated 2023 levels.
“Looking ahead, we expect prices to remain relatively stable. Our focus is on ramping up coal production toward our 18 million metric ton target and optimizing our generation mix to maximize contracted capacity,” Gotianun added.
In the second quarter, total coal shipments held steady at 4.6 million metric tons (MMT), with increased deliveries to SMPC’s own power plants offsetting a decline in exports.
The average selling price for Semirara coal declined 20%, from Php2,780 per metric ton to Php2,223, in line with global price corrections and a higher share of lower-grade coal shipments.
Total production rose 8%, from 5.2 MMT to 5.6 MMT, driven by improved access to coal seams at the Narra mine.
