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 Philippine utility’s acquisition of the Wawa bulk-water project strengthens its control over Metro Manila’s water supply—but brings heavier debt and interest expenses. **MANILA—**Manila Water Co. reported stronger first-half profitability and cash generation as higher tariffs lifted revenue faster than operating costs, helping the Philippine utility absorb the early financial burden of its acquisition of the Wawa Bulk Water Supply Project. Water and used-water revenue increased about 12% to ₱21.04 billion in the six months ended June, accounting for nearly all of the group’s revenue growth. The increase came primarily from higher customer rates rather than greater water consumption, underscoring the importance of regulated tariff adjustments to the company’s latest results. Total operating revenue, including finance income, rose 11% to ₱22.19 billion . Costs excluding depreciation and amortization increased by a more modest 6%, according to management’s cash-cost presentatio...

  Manila Water Co., the utility chaired by billionaire Enrique K. Razon Jr., opened 2026 with the kind of earnings profile investors usually want from a regulated water business: higher tariffs, stable demand, better operating efficiency and stronger contributions from domestic subsidiaries. But beneath the headline profit growth, the quarter also marked a balance-sheet reset, as the company absorbed the financing consequences of its WawaJVCo acquisition. The company’s first-quarter results showed net income attributable to Manila Water shareholders rising 24% to ₱4.42 billion , while consolidated net income climbed 30% to ₱4.84 billion . Total revenues increased 11% to ₱10.63 billion , and EBITDA rose 14% to ₱7.87 billion , lifting EBITDA margin to about 74% . The earnings momentum was led by the East Zone concession and WawaJVCo, now reviewed by management as a combined operating segment after Manila Water completed its acquisition of WawaJVCo in September 2025. The segment’s com...