NLEX Corp. reported net income rising 28 percent in the first half, driven by vehicle traffic recovery and higher toll rates.
The operator of North Luzon Expressway (NLEX) and Subic-Clark Tarlac Expressway (SCTEX) posted net income of P4.5 billion in the January to June period, higher than only P3.5 billion in the same period last year.
The company posted revenue amounting to P10.4 billion, 23 percent higher than 2022 figures due to stronger traffic and the implementation of toll rate adjustments during the quarter.
NLEX implemented toll rate adjustments at NLEX and SCTEX in May and June last year, respectively.
All vehicle classes posted double digit growth in revenue, with Class 1 revenue growing by19 percent, Class 2 by 31 percent, and Class 3 by 21 percent. This was partly due to the base effect of mobility restrictions still in force in the first quarter of 2022.
As of June this year, the average daily traffic at NLEX total 322,540 vehicle entries, higher than 2022 figures by16 percent, while at SCTEX this reached 80,938 vehicle entries or 14 percent above last year’s figures.
The company’s total cost of services amount to P3.7 billion, up 17 percent from P3.2 billion in the same period last year.
NLEX paid P999 million in concession fees to the Bases Conversion and Development Authority (BCDA), representing 50 percent of toll revenue in SCTEX.
As of the second quarter of 2023, concession fees increased by 37 percent versus the same period in 2022, driven by higher toll revenues in the SCTEX.
Philippine National Construction Corp. fee, on the other hand, amounted to P519 million, which consists of the government share in NLEX revenues.
NLEX spans about 105 kilometers or 598 lane-kms and is the main infrastructure backbone that connects Metro Manila to Central and Northern Luzon. While SCTEX is a 93.77-km four-lane divided highway, traversing the provinces of Bataan, Pampanga and Tarlac.
