Maynilad shares rise on earnings, cash dividends

By Lourdes O. Pilar, Researcher

MAYNILAD WATER Services, Inc. was one of the most actively traded stocks last week following the release of its 2025 earnings report, MSCI inclusion, and dividends declaration.

Data from the Philippine Stock Exchange (PSE) showed that Maynilad was the second most traded stock during the week, with a value turnover of P2.77 billion from a total of 126.78 million shares traded from Feb. 23 to 27.

The Pangilinan-led water concessionaire closed the week at P22 per share, up 6.3% from a week earlier. The company’s stock outperformed both the industrial sector, which inched up 3%, and the benchmark PSE index (PSEi), which rose 2.3%.

Year to date, the stock has climbed 30.2%, beating the industrial index’s 9.6% and the PSEi’s 9.2% growth.

Analysts attributed Maynilad’s active trading last week to the company’s strong full-year earnings report and dividends payout.

“Maynilad saw elevated trading activity and heightened investor attention in recent weeks, driven by its inclusion in the MSCI (Morgan Stanley Capital International) Philippines Small Cap Index and anticipation surrounding its first full-year earnings results and dividend payout since listing,” Franco M. Fernandez, equity research analyst at DragonFi Securities, Inc., said in a Viber message.

Mr. Fernandez also noted that 2025 earnings showed “strong growth and sustained momentum.”

“Maynilad’s strong earnings print, alongside its dividend payout, reinforced investor confidence and helped sustain price momentum above the P21 level,” Mr. Fernandez added.

“Broader market sentiment and risk appetite during this period were also constructive for the stock.”

Jash Matthew M. Baylon, an equity analyst at First Resources Management and Securities Corp., said in a Viber message that Maynilad was one of the most active stocks as the stock continued to trade on an uptrend support by its strong 2025 earnings and dividend declaration with a yield of 5%.

“The positive performance of Maynilad’s bottomline positively affects the stock’s performance for the week as it adds optimism among investors. The higher tariffs are expected to be seen until this year which may continue to positively affect Maynilad’s profitability,” said Mr. Baylon.

In a press release last week, Maynilad declared an 18.8% year-on-year rise in consolidated net income to P15.2 billion in 2025 from P12.8 billion a year earlier driven by improved operating efficiencies and continued infrastructure investments.

Consolidated revenues increased by 9.3% to P36.6 billion in 2025 from P33.5 billion in 2024, supported by higher tariffs and stable billed connections.

Earnings before interest stood at P25.3 billion, while its margin improved to 69%.

Mr. Fernandez gave an estimate of Maynilad’s 2026 net profit in the range of P16.4 billion to P17 billion.

The company has yet to release its full report for the period.

In a separate disclosure, the company’s board approved the declaration of cash dividends of P1.14 per common share in the aggregate amount of P8,438,968,104 out of its unrestricted retained earnings.

The dividends will be payable and distributed on March 18, to all shareholders.

Meanwhile, Maynilad was included in the MSCI Philippines Small Cap Index following the results of the February 2026 Index Review for the MSCI Equity Indexes.

Maynilad made its stock market debut in November last year after raising P34.3 billion from its maiden offering, the second-largest initial public offering in PSE history.

The MSCI Philippines Small Cap Index is designed to measure the performance of the small cap segment of the Philippines market. The index represents approximately 14% of the free float-adjusted market capitalization of the Philippines equity universe.

“Looking ahead, the near-term focus shifts to how Maynilad’s share price normalizes over the coming weeks as its key catalysts for the month have been realized,” Mr. Fernandez said.

“On the technical side, immediate support is seen around P21, followed by the 20-day SMA (simple moving average) at P20 based on Friday’s close. On the upside, resistance is pegged at the stock’s all-time high of P22.35,” he added.

Mr. Baylon sees the P20.50-P21 level as the support while the P25 level as the psychological resistance.

“We think that in the upcoming weeks, investors should monitor the firm’s capital allocation as it may affect its performance for the year,” said Mr. Baylon.