Financial and Operational Highlights
In 2021, the EDC consolidated revenue increased by 12.6 percent or PHP 4,751.6 million to PHP 42,368.4 million, from PHP 37,616.8 million in 2020. We attribute this to higher wholesale electricity spot market (WESM) prices. We also saw a decrease in our energy sales volume by 0.9 percent or by 84.7 Gigawatt hours (GWh) to 9,027.1 GWh in 2021 from 9,111.8 GWh in 2020.
Our recurring net income decreased by 11.2 percent or PHP 1,111.4 million to PHP 8,787.3 million from PHP 9,898.7 million in 2020. We attribute this decrease mainly to higher recurring operating expenses (PHP 7,443.0 million) partly offset by higher recurring revenue (PHP 5,456.0 million), lower net interest expense (PHP 573.9 million), and lower provision for income tax (PHP 340.5 million).
Further, the Company posted a net income of PHP 9,226.5 million in 2021, a 20% or PHP 2,310.5 million decrease from the PHP 11,537.0 million in 2020. The decrease was mainly due to higher costs of sale of electricity (PHP 7,225.9 million) partly offset by higher revenue (PHP 4,751.6 million). Net income in 2021 represented 21.8% of total revenue compared to 30.7% in 2020.
Our significant financing transactions for the year include the issuance of the Association of Southeast Asian Nations (ASEAN) Green Bonds. This was registered with the Philippine Securities and Exchange Commission (SEC) with an aggregate principal amount of PHP 5 billion. An additional PHP 2 billion fixed-rate long term financing was secured in February 2021 through a local bank, while the USD 181 million outstanding bonds were fully settled in January 2021.
In 2021, about 75% of our total direct economic value generated was returned and distributed to the local economy of our sites through employee wages and benefits, government taxes, payment to capital providers, operating costs, and community investments.