Investing Stocks in Philippines: Maynilad

Showing posts with label Maynilad. Show all posts

Tuesday, June 25, 2013

Stock News 2013: Maynilad water rates to go down by P4.79 per cubic meter

Population densities of Rizal localities, 1,000 people/km2 or more in red (Photo credit: Wikipedia)

Customers of the Maynilad Water Services Inc. will now enjoy a 10-percent drop in the average rate per cubic meter instead of the previously announced hike resulting from fluctuations in the foreign exchange rate.

The concessionaire for water services in Greater Manila Area’s west zone said on Thursday the average rate would decrease by P4.79 per cubic meter, thanks to a P978-million gain in a financing transaction that was closed last March.

Back then, when the peso traded at an average of P40.71 to a US dollar, Maynilad refinanced over $120 million in loans. It took the firm some three months to figure out the exercise’s impact on rates.

The new forex-influenced rate adjustment, which will take effect on July 6 and will be good until yearend, already takes into account the 17-centavo hike announced earlier this week.

This reduction will be reflected in the bills for August until January 2014.

Last Monday, Maynilad announced that its average rates would slightly increase in the third quarter due to the weakening of the peso against other currencies.

But now, average and all-in rates including value-added tax and other charges will go down to P41.77 per cubic meter from P46.56.

Lifeline customers who consume 10 cubic meters or less every month will pay P11.01 less in their August bill. The average household, which use up to 30 cubic meters, will enjoy a reduction of P85.32 in their total bill.

Under the concession agreement with the government, Maynilad must pass on to customers the gains or losses arising from the payment of foreign currency-denominated loans from banks and concession fees.

http://business.inquirer.net/128157/maynilad-says-water-rates-will-come-down-in-july

Sunday, August 26, 2012

Stock News 2012: Maynilad spends P10.4B to bring down NRW

MetroWest Water Supply Tunnel (Photo credit: Wikipedia)
West Zone water concessionaire Maynilad Water Services has spent P10.4 billion since 2007 to reduce water loss due to leaking pipes and illegal connections, enabling it to recover supply for 374,980 new customers.

In a statement, the firm said that it has reduced water supply loss from 67 percent in 2007 to 43 percent as of June this year.

“We have spent P10.4 billion so far to reduce the so-called non-revenue water (NRW) and allowed us as a result to recover an average of 551 million liters per day (MLD) which we now pipe to 374,980 new consumers. In effect, this program gave us more water to serve more customers,” Maynilad president Ricky Vargas said.

Maynilad now has a total of more than one million consumers, up from only 667,000 in December 2006.

Vargas said Maynilad would continue to work on reducing water loss in its concession area.

“When you see us digging up roads, we are laying new pipes to reach heretofore unserved consumers and/or replacing old pipes. Either way, we are doing this to allow everybody the convenience of potable water supply throughout the day now and decades into the future,” he said.

Vargas said Maynilad is pushing farther into the south, particularly Cavite, while it continues to further connect consumers within its area in Metro Manila.

“We are doing all these at the same time. They require a lot of funds and we have been using our own money, borrowed funds, and collections from connected consumers to continue our expansion and rehabilitation programs. So far, we are ahead of our targets.

“We are actually supplying to more consumers than projected,” he said.

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=841849