Our Report
I would like to thank our Board and leadership for their unwavering commitment to the disciplined execution of our strategy. I thank the Manila Water team for their hard work and dedication to the path we have charted towards growth. Lastly, I thank our shareholders who place their trust in our efforts to bring long-term value and contribute to a more sustainable future.
Fellow stockholders, ladies, and gentlemen,
I am pleased to report that your Company delivered record level results in 2024. This was made possible by the strong fundamentals we have established for the business in recent years, and further strengthened by our continued focus on growth, efficient operations and disciplined financial management.
Manila Water increased its revenues 19 percent in 2024 to Php36.6 billion. This was supported by the recovery of consumption in our service areas, and the implemented tariff adjustments in both our East Zone and Non-East Zone Philippines (NEZ PH) businesses. Coupled with continuing efforts to streamline costs and realize operating efficiencies, EBITDA increased 26 percent to Php25.9 billion and strengthened EBITDA margin by 4 percentage points to 71 percent.
Consistent with our commitment to disciplined portfolio management, we executed strategic divestments, as well as recognized adjustments on several of our investments to reflect current market conditions and operating outlook. Specifically, we divested our Bulacan business units and generated a gain of Php894 million. On the other hand, we recognized full impairment on legacy investments in East Water in Thailand, as well as partial impairment of our Saigon Water investment in Vietnam.
Excluding one-offs, core income grew by 48 percent to Php14.2 billion. In all, Manila Water posted consolidated net income of Php10.5 billion for 2024 – the highest in our company’s 27-year history.
As we are encouraged by these milestone successes, we continue to work towards further building up our critical infrastructure to ensure reliable service.
Notably, for our East Zone Concession, Phase 1 of the East Bay Project is now physically complete. This project will provide 50 million liters per day (MLD) of treated water, while the larger Phase 2, which is now at 66 percent complete, is designed to supply an additional 200 MLD. These new projects are a significant component of our Service Improvement Plan, which was approved by MWSS under its Water Security Master Plan, to provide sufficient water supply for Metro Manila in the coming years.
I would like to thank our Board and leadership for their unwavering commitment to the disciplined execution of our strategy. I thank the Manila Water team for their hard work and dedication to the path we have charted towards growth. Lastly, I thank our shareholders who place their trust in our efforts to bring long-term value and contribute to a more sustainable future.
Enrique K. Razon, Jr.
Chairman