REFERENCES:

MPIC | Financial Performance. (n.d.). Retrieved from

http://www.mpic.com.ph/site/financial_performance.php
MPI.PH Company Profile & Executives - Metro Pacific Investments
Corp. - Wall Street Journal. (n.d.). Retrieved from
http://quotes.wsj.com/PH/XPHS/MPI/company-people
MPIC | Stock Information. (n.d.). Retrieved from
http://www.mpic.com.ph/site/stock_information.php
Corporate News: MPI | PinoyInvestor. (n.d.). Retrieved from
http://www.pinoyinvestor.com/smartinvestor/category/corporatenews-mpi
THE PHILIPPINE STOCK EXCHANGE, INC. (n.d.). Retrieved from
http://www.pse.com.ph/stockMarket/companyInfo.html?
id=604&security=526&tab=0
Metro Pacific to slow down on PPP projects. (n.d.). Retrieved
from http://www.rappler.com/business/industries/208infrastructure/60429-metro-pacific-slow-down-ppp-projects

http://mutualfundphilippines.com/2013/02/mutual-fund-university/understanding-thephilippine-stock-exchange-index-psei/#sthash.FQH8cLuu.dpuf

http://business.inquirer.net/58149/manila-water-reports-double-digit-rise-in-1st-quarter-incomesales#ixzz3EilSUVsv

http://business.inquirer.net/46621/maynilad-sees-2-digit-growth-in-sales-profit#ixzz3EikrxVcV

References:
-http://business.inquirer.net/58149/manila-water-reports-double-digit-rise-in-1st-quarterincome-sales#ixzz3EilSUVsv
http://business.inquirer.net/46621/maynilad-sees-2-digit-growth-in-salesprofit#ixzz3EikrxVcV

 -http://www.lwua.gov.ph/technical_matters_10/Industry_Average_2012.pdf -http://business.inquirer.net/71289/manila-water-maynilad-raise-rates-on-forexadjustment
-http://www.gmanetwork.com/news/story/179649/economy/companies/manilawater-maynilad-to-hike-rates-starting-january
-http://www.philstar.com/business/651326/maynilad-allots-over-p85-billion-capexyear

Sources:
(n.d.). Management Marketing hrm Computer Science Medical. Working capital management Risk
Profitability and Liquidity Working capital policies Conservative Aggressive Moderate Corporate Finance
Commerce
Finance
.
Retrieved
from
http://www.zeepedia.com/read.php?
working_capital_management_risk_profitability_and_liquidity_working_capital_policies_conservative_ag
gressive_moderate_corporate_finance&b=22&c=26
(n.d.). Retrieved from http://www.abs-cbnnews.com/business/12/20/13/manila-water-taps-p800-m-loanfacility-cebu-project
Balea, J. (2013, September 12). First time: Mwss cuts water rates. Retrieved from
http://www.rappler.com/business/industries/208-infrastructure/38745-first-time-mwss-reduces-water-rates
Loyola, J. (2014, January 22). Maynilad allots p18b for 2014 capital outlay, its biggest so far. Retrieved
from http://www.mb.com.ph/maynilad-allots-p18b-for-2014-capital-outlay-its-biggest-so-far/
Yap, C. (2014, April 22). Maynilad water gets 6 billion-peso loan from philippine bank. Retrieved from
http://www.bloomberg.com/news/2014-04-22/maynilad-water-gets-6-billion-peso-loan-from-philippinebank.html
Kim, A. P. (2013, June 26). Consumers paying for millions of maynilad, manila water taxes, says mwss.
Retrieved from https://ph.news.yahoo.com/consumers-paying-for-millions-of-maynilad-and-manila-watertaxes--says-mwss-065827214.html
Rada, J. (2014, April 23). Maynilad obtains p6-b sewerage loan from dbp. Retrieved from
http://manilastandardtoday.com/2014/04/23/maynilad-obtains-p6-b-sewerage-loan-from-dbp/
Bills payment to manila water made easy with cebuanalhuillier.
http://www.manilawater.com/Pages/ReadNews.aspx?MBID=128

(n.d.).

Retrieved

from

FINANCIAL RATIO COMPUTATIONS

2010 ( Manila Water Company)

Current Ratio:
5,899,563,601/5,421,881,521= 1.09
Average Collection Period
(482,167,844/11,013,385,504)*360= 15.76 days
Total Asset Turnover
11,013,385,504/48,620,687,866= 0.2265 or 0.25
Return on Sales
3,987,469,850/11,013,385,504= 0.3620 or 0.36
Return on Assets
3,987,469,850/48,620,687,866= 0.0820 or 0.08
Return on Equity
3,987,469,850/19,977,976,433= 0.1996 or 0.20
Times Interest Earned
7,046,359,239/1,538,985,554=4.57
Price-Earnings Ratio
2011
Current Ratio:
7,817,348,460/6,288,023,096 = 1.24
Average Collection Period
973,313,589/12,003,912,704 = 8.11 days

Total Asset Turnover

12,003,912,704/ 60,896,783,777= .19
ROS
4,278,096,568/12,003,912,704 = 35.64%
ROA
4,278,096,568/60,896,783,777 = 7.06%
ROE
4,278,096,568/22,811,590,050 = 18.75%
Times Interest Earned
5,235,481,155/481,155 = 3.2
Price-Earnings Ratio
2012
Current Ratio:
8,217,496,920/9,899,093,753= 83.01%
Average Collection Period
1,451,972,427/14,553,068,347 = 35.92 days
Total Asset Turnover
14,553,068,347/67,126,572,641= .22
ROS
5,451,305,850/14,553,068,347 = 37.46%
ROA
5,451,305,850/67,126,572,641= 8.12%
ROE
5,451,305,850/26,897,914,002 = 20.27%
Times Interest Earned
5,234,059,246/1,188,454,244=4.4
Price-Earnings Ratio

FOR MAYNILAD WATER SERVICES

December 31, 2013
Current Ratio:
Current Assets
Cash
and
Cash
Equivalents
Short-term investments
Trade and other
receivables
Other current assets
Total Current Assets
Current Liabilities
Current
portion
of
interest-bearing loans
Trade and other
payables
Current portion of
service
concession
obligation payable to
MWSS
Deposits for future
stock subscription
Total
Current
Liabilities

2,864,405
3,627,000
2,010,165
2,392,881
10,894,451
1,703,831
12,226,318

Current
Ratio
=
Current
Assets/
Current Liabilities
Current
Ratio
10,849,451/
14,884,855

954,706
Answer: 73

14,884,855

The
Average
Collection Period:
Receivables
Customers:
Residential
Semi-business
Commercial
Industrial
Bulk water supply
Total

1,702,657
170,910
544,845
111,084
21,870
2,551,366

ACP
=
Accounts
Receivable/ Sales x
360
ACP
=
2,551,366/
16,895,200 x 360
Answer: 54.36 days

Operating Revenue
Water services:
West zone
Outside west zone
Sewer services
West zone
Others
Total

13,468,569
118,520
2,909,369
398,742
16,895,200

Total Asset Turnover:

Operating Revenue
Water services:
West zone
Outside west zone
Sewer services
West zone
Others
Total
Current Assets
Cash
and
Cash
Equivalents
Short-term
investments
Trade and other
receivables
Other current assets
Total Current Assets
Noncurrent Assets
Service concession
assets
Deferred tax assets
net
Property
and
equipment
Goodwill
Available-for-sale
financial assets
Other noncurrent
assets
Total
Noncurrent
Assets
Total Assets

13,468,569
118,520
2,909,369
398,742
16,895,200
2,864,405
3,627,000
2,010,165
2,392,881
10,894,451
54,560,728
2,072,997
548,272
288,082
210,584
155,364
57,836,027
68,730,478

Total Asset turnover

= Sales/ Total Assets

Total Assets Turnover

=
16,895,200/
68,730,478
Answer: 24.58

Return on Sales:
NET INCOME
Operating Revenue
Water services:
West zone
Outside west zone
Sewer services
West zone
Others
Total

6,936,214

13,468,569
118,520

Current Assets
Cash
and
Cash
Equivalents
Short-term
investments
Trade and other
receivables
Other current assets
Total Current Assets
Noncurrent Assets
Service concession
assets
Deferred tax assets
net
Property
and
equipment
Goodwill
Available-for-sale
financial assets
Other noncurrent
assets
Total
Noncurrent
Assets
Total Assets
Return on Equity:

ROS
=
6,936,214/
16,895200
Answer: 41.05%

2,909,369
398,742
16,895,200

Return on Assets:
NET INCOME

ROS = Net Income/

Sales

6,936,214
2,864,405
3,627,000
2,010,165
2,392,881
10,894,451
54,560,728
2,072,997
548,272
288,082
210,584
155,364
57,836,027
68,730,478

NET INCOME

6,936,214

Equity
Capital stock
Additional paid-in
capital
Treasury shares
Other comprehensive
income
Other
equity
adjustments
Retained earnings
Unappropriated
Appropriated for
capital expenditures
Appropriated for cash
dividend
Total Equity
Times
Earned:

ROE = Net Income/

Equity
4,546,982
9,979,786
(4,110)
32,920
(309,220)

ROE
=
6,936,214/
20,692,917
Answer: 33.52%

2,446,559
4,000,000

20,692,917

Interest

Operating Revenue
Water services:
West zone
Outside west zone
Sewer services
West zone
Others
Total
COSTS
AND
EXPENSES
Salaries,
wages
and
benefits
Amortization of service
concession assets
Utilities
Contracted services
Repairs
and
maintenance
Depreciation and
amortization
Materials and supplies
Transportation and

13,468,569
118,520
2,909,369
398,742
16,895,200
TIE = EBIT/ Interest
2,042,867
1,565,644
824,950
767,902
467,546
231,241
192,747
175,204
158,907
155,178
142,952

TIE
=
9,100,196/
2,570,951
Answer: 3.54

travel
Rental
Taxes and licenses
Provision for doubtful
accounts
Business meetings and
representations
Collection charges
Regulatory costs
Insurance
Advertising
and
promotion
Others
Total
INCOME
OTHER
(EXPENSES)

BEFORE
INCOME

OTHER
INCOME
(EXPENSES)
Revenue
from
rehabilitation works
Cost of rehabilitation
works
Interest income
Foreign exchange
gains net
Foreign currency
differential adjustments
Others net
Total

121,744
108,706
63,106
40,782
29,175
57,901
(7,146,552)
9,748,648

5,146,214
(5,020,772)
90,572
(176,050)
174,437
(862,826)
(648,452)
9,100,196
(2,570,951)

Income
Before
Income
Tax
w/o
Interest Expense
Interest Expense and
other
Financing
Charges
Price Earnings Ratio:

December 31, 2010

Current Ratio:
Current Assets
Cash
and
cash
equivalents
Short-term investments
Trade
and
other
receivables
Other current assets
Total Current Assets
Current Liabilities
Current
portion
of
interest-bearing loans
Trade
and
other
payables
Current
portion
of
service
concession
obligation payable to
MWSS
Total
Current
Liabilities
The
Average
Collection Period:
Receivables
Customers:
Residential
Commercial
Semi-business
Industrial
Total
OPERATING REVENUE
Water services
Sewer services
Others
Total

1,306,935
6,138
1,558,898
1,535,033
4,407,004

492,986
7,389,370

Current
Ratio
=
Current
Assets/
Current Liabilities
Current
Ratio
4,407,004/
10,216,444

Answer: 43.14
2,334,088
10,216,444

1,289,367
542,456
174,694
98,563
2,105,080

ACP
=
Accounts
Receivable/ Sales x
360
ACP
=
2,105,080/
12,049,524 x 360
Answer: 62.89 days

9,904,395
1,738,898
406,231
12,049,524

Total Asset Turnover:

OPERATING REVENUE
Water services
Sewer services
Others

9,904,395
1,738,898
406,231

Total Asset Turnover

= Sales/ Total Assets

Total
Current Assets
Cash
and
cash
equivalents
Short-term investments
Trade
and
other
receivables
Other current assets
Total Current Assets
Noncurrent Assets
Service concession
assets
Deferred tax assets
net
Property and equipment
Other noncurrent assets
Total
Noncurrent
Assets

12,049,524
1,306,935
6,138
1,558,898
1,535,033
4,407,004

Total Asset Turnover

=
12,049,524/
42,590,182
Answer: 28.29

36,188,764
1,659,347
290,865
44,202
38,183,178
42,590,182

Total Assets
Return on Sales:
NET INCOME
OPERATING REVENUE
Water services
Sewer services
Others
Total

4,779,976
9,904,395
1,738,898
406,231
12,049,524

ROS = Net Income/

Sales
ROS
=
4,779,976/
12,049,524
Answer: 39.67%

Return on Assets:
OPERATING REVENUE
Water services
Sewer services
Others
Total

9,904,395
1,738,898
406,231
12,049,524

Current Assets
Cash
and
cash
equivalents
Short-term investments

1,306,935
6,138
1,558,898

ROS = Net Income/

Total Assets
ROS = 12,049,524/
42,590,182
Answer: 28.29%

Trade
and
other
receivables
Other current assets
Total Current Assets
Noncurrent Assets
Service concession
assets
Deferred tax assets
net
Property and equipment
Other noncurrent assets
Total
Noncurrent
Assets

1,535,033
4,407,004
36,188,764
1,659,347
290,865
44,202
38,183,178
42,590,182

Total Assets
Return on Equity:
NET INCOME
Equity
Capital stock
Additional
paid-in
capital
Treasury shares
Other
equity
adjustments
Retained earnings
Unappropriated
Appropriated
Net Equity
Times
Earned:

4,779,976

ROE = Net Income/

Equity

4,010,893
101,815
(348,946)

ROE
=
4,779,976/
7,943,738
Answer: 60.17%

4,179,976
7,943,738

Interest

OPERATING REVENUE
Water services
Sewer services
Others
Total

9,904,395
1,738,898
406,231
12,049,524

COSTS
AND
EXPENSES
Salaries,
wages
and
benefits

1,284,093

TIE = EBIT/ Interest

TIE
=
6,727,875/
2,162,845
Answer: 3.11
1,059,235
565,153

Amortization of service
concession assets
Utilities
Contracted services
Repairs
and
maintenance
Materials and supplies
Depreciation
and
amortization
Rental
Provision for doubtful
accounts
Transportation
and
travel
Taxes and licenses
Collection charges
Business meetings and
representations
Advertising
and
promotion
Regulatory costs
Insurance
Others
Total
INCOME
OTHER
(EXPENSES)

BEFORE
INCOME

598,617
320,547
367,240
135,276
160,382
80,660
82,529
103,217
30,537
18,122
13,025
28,087
85,157
4,931,877
7,117,647

7,678,858
(7,605,554)
70,294
1,216,711

OTHER
INCOME
(EXPENSES)
Revenue
from
rehabilitation works
Cost of rehabilitation
works
Interest income
Foreign exchange gains
(losses) net
Foreign
currency
differential adjustments
Other income from rate
rebasing resolutions
Others net
Total
Income

Before

(1,271,411)
(478,670)
(389,772)
6,727,875
(2,162,845)

Income
Tax
w/o
Interest Expense
Interest Expense
Price Earnings Ratio:

2012
CURRENT RATIO

8,085,311 / 13,244,163

0.61

AVERAGE COLLECTION
PERIOD

2,915,160 / 15,882,764

66.08

*FATO

15,882,764 / 367,332 +
92,246

34.56

TATO

15,882,764 / 61,301,090

0.26

DEBT RATIO

31,331,556 + 13,244,163 /
61,467,210

0.73

DEBT-EQUITY

31,331,556 / 16,725,371

1.87

TIE

6,515,283 / 2,494,413

2.61

ROS

6,386,262 / 15,882,764

40.21

ROA

6,386,262 / 61,301,090

10.42

ROE

6,386,262 / 16,725,371

38.18

P/E RATIO

STOCK PRICE / 1,594.96