First Gen Q1 income falls 24% as expenses outpace revenue growth

LOPEZ-LED First Gen Corp. reported a 23.9% decline in first-quarter attributable net income to P3.63 billion after expenses grew faster than revenues during the period.

In a statement on Wednesday, the listed energy company said gross revenues for the January-to-March period rose 32.24% to P15.34 billion, while total expenses increased 46.28% to P10.43 billion.

The company said net contributions from its gas business fell 60.09% to P1.45 billion from P3.72 billion a year earlier following the reduction in its stake after the sale of equity interests to Prime Infrastructure Capital, Inc. last year.

In November, Prime Infra completed the acquisition of First Gen’s gas assets in Batangas City for P50 billion.

First Gen also cited lower contributions from Fresh River Lakes Corp. due to weaker power generation caused by reduced water inflows.

The declines were partly offset by stronger earnings from geothermal unit Energy Development Corp. (EDC), which benefited from higher sales volumes and improved steam availability.

“The strong first quarter 2026 performance of the geothermal portfolio was largely driven by the drilling program launched in 2024, our newly operating battery storage projects, and better-than-expected contracted market prices,” First Gen President and Chief Operating Officer Francis Giles B. Puno said.

The company said most of its revenues came from its geothermal, wind, and solar businesses, which generated P13.48 billion during the quarter.

Its hydroelectric platform contributed P1.62 billion in revenues, while other businesses generated P234.48 million.

EDC’s net income contribution, excluding hydro operations, rose 9.16% to P1.31 billion, driven by improved generation and higher average selling prices.

Meanwhile, hydroelectric operations posted a 45.71% increase in net income contributions to P550.5 million due to higher revenues from electricity sales to the spot market.

“We envisage to carry this momentum into the rest of the year as more wells are activated and as we continue to see contributions from EDC’s new growth projects,” Mr. Puno said.

At the stock exchange on Wednesday, First Gen shares declined two centavos, or 0.12%, to close at P16.16 apiece. — Ashley Erika O. Jose