{"id":329176,"date":"2024-08-27T22:32:10","date_gmt":"2024-08-27T14:32:10","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=329176"},"modified":"2024-09-01T15:57:33","modified_gmt":"2024-09-01T07:57:33","slug":"trade-the-news-fgen-sees-geothermal-segment-bouncing-back-after-weaker-1h-2024-performance","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/trade-the-news-fgen-sees-geothermal-segment-bouncing-back-after-weaker-1h-2024-performance\/","title":{"rendered":"Trade the News: FGEN sees geothermal segment bouncing back after weaker 1H 2024 performance"},"content":{"rendered":"\n
Potential Impact of this News<\/strong><\/td>POSITIVE on the stock price<\/strong><\/td><\/tr>
Company<\/strong><\/td>First Gen Corp.<\/td><\/tr>
Stock Code<\/strong><\/td>FGEN<\/td><\/tr>
Long-term Recommendation on the Stock<\/strong><\/td>Buy<\/td><\/tr>
1-Year Target Price<\/strong><\/td>PHP 30.58<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
<\/div>\n\n\n\n

First Gen Corp. (FGEN) remains optimistic it will end the year in positive territory despite a weaker first-half performance due to its geothermal business.<\/p>\n\n\n\n

Francis Giles Puno, First Gen president and chief operating officer, said the group\u2019s geothermal operations were trying to secure a foothold amid the drop in power prices and volumes sold, coupled with higher expenses. <\/p>\n\n\n\n

\u201cOur production is lower simply because our steam, we\u2019re still doing the drilling today. So, the costs are being borne today,\u201d he told reporters recently.<\/p>\n\n\n\n

The official said First Gen would continue to invest in geothermal energy as it sees the segment bouncing back in the future.<\/p>\n\n\n\n

In a disclosure last week, the company said its attributable recurring net income reached $150 million, 10-percent lower from last year\u2019s $167 million. At the same time, revenues during the period also dipped by 0.7 percent to $1.278 billion due to lower volumes of electricity sold from January to June across its power businesses, excluding its hydro unit.<\/p>\n\n\n\n

But by next year, Puno said the geothermal business can even record growth as its operations would be boosted by 83 megawatts (MW) of new geothermal plants slated for completion this 2024.<\/p>\n\n\n\n

Energy Development Corp. (EDC), the group\u2019s all-renewable energy arm, has a power capacity of 1,464.5 MW, accounting for almost 20 percent of the country\u2019s installed renewable energy capacity. Its primary source of power is geothermal.<\/p>\n\n\n\n

The official also expects hydropower plants to recover with the end of the summer months. The group became the official owner of the 165-MW Casecnan Hydroelectric Power Plant in Pantabangan, Nueva Ecija after it won the auction conducted by state-run Power Sector Assets and Liabilities Management Corp.<\/p>\n\n\n\n

(News Source: Philippine Daily Inquirer<\/a>)<\/em><\/p>\n\n\n\n

<\/div>\n\n\n\n

This report is prepared by PinoyInvestor\u2019s partner broker below. Find out more about our partner brokers<\/a> and sign up to avail their complete trading brokerage services.<\/em><\/em><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

Take advantage of the price opportunity that might arise when the news hits. Trade the news!<\/p>\n","protected":false},"author":11,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1371],"tags":[],"class_list":["post-329176","post","type-post","status-publish","format-standard","hentry","category-trade-the-news","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33"],"_links":{"self":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts\/329176","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/comments?post=329176"}],"version-history":[{"count":1,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts\/329176\/revisions"}],"predecessor-version":[{"id":329178,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/posts\/329176\/revisions\/329178"}],"wp:attachment":[{"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/media?parent=329176"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/categories?post=329176"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/wp-json\/wp\/v2\/tags?post=329176"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}