the Outsider - PSE Points to Ponder

  Manila Water won the first-half revenue race through higher tariffs, while Maynilad relied more on rising billed volume and falling water losses. Their capital strategies reveal an even deeper divide: acquisition-led water security versus aggressive organic infrastructure expansion. The rivalry between Enrique Razon Jr.-backed Manila Water Co. (PSE: MWC) and Manuel V. Pangilinan-chaired Maynilad Water Services (PSE: MYNLD) is emerging as a contest between two distinctly different utility strategies. In the first half of 2026, Manila Water recorded ₱22.19 billion in operating revenue , up 11% from ₱20.00 billion a year earlier. Maynilad generated ₱19.11 billion , an increase of 4.1% from ₱18.35 billion. Manila Water therefore added about ₱2.19 billion of revenue—nearly three times Maynilad’s roughly ₱761 million increase.  But revenue growth tells only half the story. Manila Water and Maynilad are also directing capital toward different sources of future growth. Manila Wa...

  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...