Semirara Mining and Power Corporation (SMPC) posted a net income of Php 4.4 billion in the first quarter of 2025, down 33% from Php 6.5 billion in the same period last year, as domestic coal sales weakened despite steady demand from international buyers.
Total coal production increased by 16% year-on-year, rising from 4.9 million metric tons (MMT) to 5.7 MMT. This growth was attributed to improved access to coal seams at the Narra mine following continuous pre-stripping activities in 2024.
However, total shipments dipped slightly by 2%, from 4.8 MMT to 4.7 MMT. The decline was largely due to a drop in local demand, while foreign shipments remained stable at 2.7 MMT. SMPC was able to maintain its export levels through additional deliveries to China, Brunei, and Vietnam.
The average selling price (ASP) of Semirara coal fell 17% to Php 2,481 per metric ton, down from Php 2,978 per metric ton a year earlier. This decline reflected both the global trend toward stabilizing market prices and a higher volume of lower-grade coal in the company’s sales mix. Benchmark prices also trended downward during the quarter, with the Newcastle Index declining 16 percent and the Indonesian Coal Index 4 (ICI4) dropping 14%.
“We navigated the softer energy market through improved power generation and coal production, strengthened contracting strategies, and disciplined cost management. These fundamentals will continue to guide us in an increasingly dynamic energy landscape,” said SMPC President and Chief Operating Officer Maria Cristina C. Gotianun.
The company’s power segment provided a partial cushion for lower coal margins. Power sales rose by 11% to 1,427 gigawatt-hours (GWh), driven by increased output and improved capacity from its Calaca-based facilities.
As the domestic market shows signs of price correction and reduced demand, SMPC’s consistent performance in overseas shipments highlights the role of exports in stabilizing the company’s coal operations in a volatile energy environment.
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