MANILA, Philippines - Lopez-led Energy Development Corp. (EDC) on Tuesday reported P10.4 billion in last year’s net income, higher than the P615 million it posted a year ago, mainly driven by a 15.6-percent surge in revenues.

“EDC’s improved operations allowed for a complete bottom-line recovery. EDC ended the year with a net income of P10.4 billion, a significant jump from its 2011 net income of P615 million,” the company said.

Its revenues stood at P28.4 billion from P24.5 billion in 2011. This came from increases in electricity rates and revenues from FG Hydro’s ancillary services.

At end-2012, EDC had P11.4 billion in cash but the company used its reserve cash to fund investments and financing activities that amounted to P13.7 billion. The balance was sourced from operating cash flows, it said.

Last week, EDC had to shut down its BacMan geothermal Unit 2 due to damage caused by a turbine blade that was sheared off. As a precaution, Unit1 was also shut down.

The company said it was expecting P160 million in forgone revenues for each of the unit every month. But it does not expect to incur additional costs in relation to the replacement of the turbine blades as they are still under warranty. EDC’s business interruption insurance covers interrupted operations beyond 45 days.

Philippine Ratings Services Corp. (PhilRatings) assigned an issue credit rating of “PRS Aaa” for EDC’s proposed P5-billion bond issuance.

“PhilRatings will continue to monitor disclosures in relation to this development to see how this affects the company’s credit standing in relation to its rated debt issues,” it said.

EDC has an outstanding P12-billion bond issuance, of which P8.5 billion is due in June 2015 and P3.5 billion in December 2016. PhilRatings announced the maintenance of the “PRS Aaa” rating for these bonds in December 2012.

“PhilRatings believes that EDC’s strong credit position remains even with the planned additional debt issuance of the company,” it said.