the Outsider - PSE Points to Ponder

  The water concessionaire posted stronger first-half earnings, but rising borrowings, weak cash conversion and an aggressive infrastructure program complicate the financial picture. Maynilad Water Services Inc.’s first-half results carried two contrasting messages for investors: The Philippine water concessionaire is earning more, but it is also borrowing and spending at a considerably faster pace. The company, which trades under the ticker MYNLD , reported net income of ₱8.51 billion for the six months ended June 30, up 14% from ₱7.47 billion a year earlier. Operating revenue rose a more modest 4.1% to ₱19.11 billion, supported by higher billed water volume and a slight increase in the average effective tariff.  Behind those headline gains, Maynilad’s balance sheet became more leveraged. Interest-bearing debt climbed 11.9% in six months to ₱103.55 billion , from ₱92.56 billion at the end of 2025. That increase was more than twice the company’s 5% growth in total assets , w...

  DMCI Holdings Inc. delivered its strongest first-half performance in years, powered by a surge in nickel mining earnings and resilient contributions from power and real estate. Yet investors increasingly face a new question: whether the conglomerate's growing cash pile is being preserved not for higher dividends, but for a future battle over Semirara Island's most important coal asset.  The Consunji-led conglomerate reported first-half core net income of ₱11.28 billion , up 25% from a year earlier, while reported net income rose 26% to ₱11.38 billion . Second-quarter earnings were even more impressive, jumping 61% year over year to ₱6.52 billion .  The standout performer was DMCI Mining. Revenue from the nickel business nearly doubled to ₱5.09 billion in the first six months of 2026 from ₱2.59 billion a year earlier, while net income contribution soared 130% to ₱1.74 billion . During the second quarter alone, nickel shipments reached a record 1.26 million wet metric ...

First-half results suggest the Philippine coal producer is conserving capital, preserving borrowing room and holding back dividends as uncertainty over its flagship mining contract approaches a decisive stage. **MANILA—**Semirara Mining and Power Corp.’s first-half results tell two stories. The first is an operating story: a surging power business offset a sharp deterioration in coal profitability, allowing the company—listed under the ticker SCC —to report a modest increase in consolidated earnings. The second, and potentially more consequential, is a story of financial preparation. SCC ended June with ₱18.34 billion in cash , more than four times the ₱4.36 billion it held at the end of 2025. The increase appears designed to give the company room to maneuver as the Philippine government prepares to auction off coal development areas on Semirara Island, where SCC’s existing Coal Operating Contract No. 5 is scheduled to expire in July 2027. The cash buildup reflects three related decisi...

  The financial-technology company generated ₱43.3 billion in first-half revenue and an estimated ₱5.1 billion dividend for its shareholders as preparations for a public offering advanced. Mynt Inc., the company behind the GCash mobile wallet, continued to expand rapidly in the first half of 2026. But its latest figures contained a cautionary signal: More revenue did not translate into more profit. Mynt generated ₱43.3 billion in revenue during the six months ended June, an increase of about 10 percent from ₱39.2 billion a year earlier, according to the quarterly report of Globe Telecom, one of Mynt’s principal shareholders. Net income, however, slipped about 2 percent to ₱10.8 billion , from ₱11 billion. The divergence suggests that Mynt’s costs, investments and other charges grew faster than its top line, although Globe’s filing did not provide a detailed breakdown of Mynt’s expenses. The result portrays a company that is still growing at a substantial pace, but whose expansion...

  The Philippine food maker reported modest revenue growth in the first half of 2026, aided by currency translation and higher prices. A sharp improvement in cash generation came mainly from working capital management rather than from a surge in operating profit. For Universal Robina Corporation, the weaker Philippine peso provided an unlikely source of strength. The food manufacturer behind Jack ’n Jill snacks, Great Taste coffee and C2 beverages reported revenue of ₱89.34 billion for the first six months of 2026 , up 4 percent from a year earlier. Part of that increase came from the company’s overseas operations, whose sales are translated back into pesos for financial reporting. International branded-food revenue rose 7 percent to ₱19.50 billion , even though it was essentially unchanged from the previous year in constant United States dollar terms.  In other words, the international business did not sell substantially more once currency movements were stripped away. But be...

  The Philippine gaming company is attracting more bettors but generating less revenue from them. Cost cuts have lifted margins, while a multibillion-peso investment in a Manila casino offers a new—and riskier—path to growth. For several years, DigiPlus Interactive Corp. appeared to have found the ideal formula for the Philippine gambling market: put familiar games on a smartphone, spend aggressively to attract players and make depositing money nearly effortless. In the first half of 2026, that formula showed signs of strain. DigiPlus, the company behind BingoPlus, ArenaPlus and GameZone, reported ₱32.9 billion in revenue for the six months ended June 30, a 31 percent decline from a year earlier. Retail gaming revenue, which accounts for nearly all of the company’s business, fell by the same rate, to ₱32.3 billion. The deterioration was also visible in cash generation. Net cash provided by operating activities fell to ₱4.4 billion from ₱8.8 billion a year earlier, a decline of near...