First Gen Corporation reported increased revenues in the first quarter of 2023 at $652 million (P36.0 billion), a 14% positive change of $82 million (P6.9 billion) from $570 million (P29.1 billion) from the same period of 2022.

The higher revenues are derived from elevated fuel and Wholesale Electricity Spot Market (WESM) prices and an increase in volume of electricity sales. The natural gas portfolio accounted for 61% of First Gen’s total consolidated revenues while 35% came from Energy Development Corporation’s (EDC) geothermal, wind and solar plants. The remaining 4% balance comes from the company’s hydro plants.

“2023 is off to a promising start for First Gen as the portfolio benefits from the strong performance of almost all of its platforms. The awaited LNG terminal is likewise on its way to commercial operations as we head towards commissioning this quarter. The operation of the LNG terminal should be beneficial not just for our portfolio, but for the grid in general as we will no longer be solely reliant on Malampaya gas for our operations,” First Gen president and COO Giles Puno said.

The company reported a 52% increase in recurring net income in 2023 to $89 million (P4.9 billion) in comparison to $59 million (P3.0 billion) in the previous year.

The natural gas platform posted a 17% increase in recurring earnings for the first three months of 2023 to $45 million (P2.5 billion) from $38 million (P2.0 billion) in 2022. All four natural gas power plants delivered higher operating income as they experienced high dispatch due to the lack of power supply in the grid.

The geothermal power plants under EDC enjoyed higher sales and operating income as they benefited from both an increase in WESM sales and higher electricity prices from their new contracts. EDC’s recurring and attributable earnings at $38 million (P2.1 billion) for the first quarter of 2023 were 126% higher than its recurring income of $17 million (P0.9 billion) in 2022.

The hydro platform’s contribution was at $7 million (P381.8 million) for the first quarter of 2023, a decline of 28% from its 2022 recurring income of $10 million (P489.0 million) for the same period. The decrease in electricity sold was partially offset by an increase in WESM volumes sold and higher market prices. The decline was likewise buffered by savings in administrative expenses and higher interest income.