First Gen Corporation, set up in 1998, is the Philippines’ third-largest electricity generator. Frederico Lopez is the Chairman and CEO, and Profitable Growth has improved to average rank in the past 12 months under his leadership. Learn more at: http://becomeabetterinvestor.net/blog/megawatts-margins-and-growth-improvement/

1. Presented by: Dr. Andrew Stotz, CFA
First Gen
Corporation

2. 8 September 2015 2
Revenue breakdown, by energy source 2015
First Gen Corporation (FGEN PM)
Sources: A. Stotz Investment Research, company data, Thomson Reuters
 All of FGEN’s revenues come from electricity generation and related sales, and all of its
power facilities are located in the Philippines. The company currently has a capacity of
2,959MW which accounts for 23% of Philippines’ domestic output
 FGEN breaks down its electricity revenue into the following three operating segments:
just under two-thirds is gas-powered facilities, just under one-third is geothermal, and the
rest is hydro
 Most of its electricity generation is sold under long-term power-purchase agreements,
including deals with the Manila Electric Company and the National Power Corporation.
These deals ensure that operating, maintenance and fuel costs can be fully covered, and
ensure a more stable return on investment in the facilities for the operator
 The 98MW gas-fired Avion power plant and the 414MW San Gabriel power plant are
currently in commissioning phase and will start to deliver profits soon. A third plant will be
launched in two 450MW phases, both planned for 2022-2024
Gas-powered 64% Geothermal 34% Hydro and others 2%
Stock information:
Name: First Gen
Corporation
Ticker: FGEN PM
Price (PHP): 24.6
Mcap: US$1,994m
3MADTO: US$2m
Beta: 1.1x
Sector: Utilities
Industry: Utilities
Major shareholders:
66% First Philippine
Holdings Corp.
1% Eastspring Investments
(Singapore) Ltd.
33% Free float
50
70
90
110
130
150
170
10
15
20
25
30
35
Sep-13 Jun-14 Mar-15 Dec-15 Sep-16
FGEN PM (LHS)
Price relative to local index
(PHP) (%)
Background: First Gen Corporation, set up in 1998, is the Philippines’
third-largest electricity generator. Most of the electricity is contracted
for sale under long-term power-purchase agreements. It owns 50% of
EDC (EDC PM), the world’s second-largest geothermal-energy
producer. Including EDC, FGEN will have 21 plants by end 2016, all
domestically operated.

3. 315 September 2016
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
Background: First Gen Corporation, set up in 1998, is the
Philippines’ third-largest electricity generator.
Most of the electricity is contracted for sale under long-
term power-purchase agreements.
It owns 50% of EDC (EDC PM), the world’s second-largest
geothermal-energy producer.
Including EDC, FGEN will have 21 plants by end 2016, all
domestically operated.
First Gen Corporation (FGEN PM)

4. 415 September 2016
50
70
90
110
130
150
170
10
15
20
25
30
35
Sep-13 Jun-14 Mar-15 Dec-15 Sep-16
FGEN PM (LHS)
Price relative to local index
(PHP) (%)Stock information:
Name: First Gen Corporation
Ticker: FGEN PM
Price (PHP): 24.6
Mcap: US$1,994m
3MADTO: US$2m
Beta: 1.1x
Sector: Utilities
Industry: Utilities
Major shareholders:
66% First Philippine Holdings
Corp.
1% Eastspring Investments
(Singapore) Ltd.
33% Free float
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
First Gen Corporation (FGEN PM)

5. 8 September 2015 5
Revenue breakdown, by energy source 2015
First Gen Corporation (FGEN PM)
Sources: A. Stotz Investment Research, company data, Thomson Reuters
 All of FGEN’s revenues come from electricity generation and related sales, and all of its
power facilities are located in the Philippines. The company currently has a capacity of
2,959MW which accounts for 23% of Philippines’ domestic output
 FGEN breaks down its electricity revenue into the following three operating segments:
just under two-thirds is gas-powered facilities, just under one-third is geothermal, and the
rest is hydro
 Most of its electricity generation is sold under long-term power-purchase agreements,
including deals with the Manila Electric Company and the National Power Corporation.
These deals ensure that operating, maintenance and fuel costs can be fully covered, and
ensure a more stable return on investment in the facilities for the operator
 The 98MW gas-fired Avion power plant and the 414MW San Gabriel power plant are
currently in commissioning phase and will start to deliver profits soon. A third plant will be
launched in two 450MW phases, both planned for 2022-2024
Gas-powered 64% Geothermal 34% Hydro and others 2%
Stock information:
Name: First Gen
Corporation
Ticker: FGEN PM
Price (PHP): 24.6
Mcap: US$1,994m
3MADTO: US$2m
Beta: 1.1x
Sector: Utilities
Industry: Utilities
Major shareholders:
66% First Philippine
Holdings Corp.
1% Eastspring Investments
(Singapore) Ltd.
33% Free float
50
70
90
110
130
150
170
10
15
20
25
30
35
Sep-13 Jun-14 Mar-15 Dec-15 Sep-16
FGEN PM (LHS)
Price relative to local index
(PHP) (%)
Background: First Gen Corporation, set up in 1998, is the Philippines’
third-largest electricity generator. Most of the electricity is contracted
for sale under long-term power-purchase agreements. It owns 50% of
EDC (EDC PM), the world’s second-largest geothermal-energy
producer. Including EDC, FGEN will have 21 plants by end 2016, all
domestically operated.

6. 615 September 2016
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
 All of FGEN’s revenues come from electricity
generation and related sales, and all of its power
facilities are located in the Philippines
 The company currently has a capacity of
2,959MW which accounts for 23% of Philippines’
domestic output
First Gen Corporation (FGEN PM)

7. 715 September 2016
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
 FGEN breaks down its electricity revenue into the
following three operating segments:
 just under two-thirds is gas-powered facilities,
just under one-third is geothermal, and the rest
is hydro
First Gen Corporation (FGEN PM)

8. 815 September 2016
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
 Most of its electricity generation is sold under
long-term power-purchase agreements,
including deals with the Manila Electric Company
and the National Power Corporation
 These deals ensure that operating, maintenance
and fuel costs can be fully covered, and ensure a
more stable return on investment in the facilities
for the operator
First Gen Corporation (FGEN PM)

9. 915 September 2016
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
 The 98MW gas-fired Avion power plant and the
414MW San Gabriel power plant are currently in
commissioning phase and will start to deliver
profits soon
 A third plant will be launched in two 450MW
phases, both planned for 2022-2024
First Gen Corporation (FGEN PM)

10. 8 September 2015 10
Revenue breakdown, by energy source 2015
First Gen Corporation (FGEN PM)
Sources: A. Stotz Investment Research, company data, Thomson Reuters
 All of FGEN’s revenues come from electricity generation and related sales, and all of its
power facilities are located in the Philippines. The company currently has a capacity of
2,959MW which accounts for 23% of Philippines’ domestic output
 FGEN breaks down its electricity revenue into the following three operating segments:
just under two-thirds is gas-powered facilities, just under one-third is geothermal, and the
rest is hydro
 Most of its electricity generation is sold under long-term power-purchase agreements,
including deals with the Manila Electric Company and the National Power Corporation.
These deals ensure that operating, maintenance and fuel costs can be fully covered, and
ensure a more stable return on investment in the facilities for the operator
 The 98MW gas-fired Avion power plant and the 414MW San Gabriel power plant are
currently in commissioning phase and will start to deliver profits soon. A third plant will be
launched in two 450MW phases, both planned for 2022-2024
Gas-powered 64% Geothermal 34% Hydro and others 2%
Stock information:
Name: First Gen
Corporation
Ticker: FGEN PM
Price (PHP): 24.6
Mcap: US$1,994m
3MADTO: US$2m
Beta: 1.1x
Sector: Utilities
Industry: Utilities
Major shareholders:
66% First Philippine
Holdings Corp.
1% Eastspring Investments
(Singapore) Ltd.
33% Free float
50
70
90
110
130
150
170
10
15
20
25
30
35
Sep-13 Jun-14 Mar-15 Dec-15 Sep-16
FGEN PM (LHS)
Price relative to local index
(PHP) (%)
Background: First Gen Corporation, set up in 1998, is the Philippines’
third-largest electricity generator. Most of the electricity is contracted
for sale under long-term power-purchase agreements. It owns 50% of
EDC (EDC PM), the world’s second-largest geothermal-energy
producer. Including EDC, FGEN will have 21 plants by end 2016, all
domestically operated.

11. 1115 September 2016
Sources: A. Stotz Investment Research, Bloomberg, company data, FactSet, Thomson Reuters
Revenue breakdown, by energy source 2015
Gas-powered 64% Geothermal 34% Hydro and others 2%

13. 1315 September 2016
FGEN: Leadership
Sources: A. Stotz Investment Research, company data, FactSet
Chairman&CEOPresident&COO
2012 2013 2014 2015 Past 12 months
Federico Lopez
Dec 1998 – Present
Francis Giles Puno
Aug 2005 – Present

14. 1415 September 2016
'12 '13 '14 '15 PTM
2 7 4 6 5
'12 '13 '14 '15 PTM '12 '13 '14 '15 PTM
2 7 4 5 5 1 9 2 8 6
'12 '13 '14 '15 PTM '12 '13 '14 '15 PTM '12 '13 '14 '15 PTM '12 '13 '14 '15 PTM
4 6 6 6 7 4 6 4 4 3 1 9 8 7 9 1 9 2 7 3
Benchmarked against 290 large Utilities companies worldwide.
Profitable Growth
Asset utilization Profit margin Sales growth Margin change
Profitability Growth
CEO, 1998 – Present
Federico Lopez
Source: A. Stotz Investment Research. Notes: 1 = top ranking and 10 = worst. Most recent year’s data is based on the past 12 months (PTM) of published data.
Profitable Growth has
improved to average rank
in the past 12 months
FGEN: A. Stotz Profitable Growth

15. 1515 September 2016
'12 '13 '14 '15 PTM
2 7 4 6 5
'12 '13 '14 '15 PTM '12 '13 '14 '15 PTM
2 7 4 5 5 1 9 2 8 6
'12 '13 '14 '15 PTM '12 '13 '14 '15 PTM '12 '13 '14 '15 PTM '12 '13 '14 '15 PTM
4 6 6 6 7 4 6 4 4 3 1 9 8 7 9 1 9 2 7 3
Benchmarked against 290 large Utilities companies worldwide.
Profitable Growth
Asset utilization Profit margin Sales growth Margin change
Profitability Growth
Source: A. Stotz Investment Research. Notes: 1 = top ranking and 10 = worst. Most recent year’s data is based on the past 12 months (PTM) of published data.
Profitable Growth has
improved to average rank
in the past 12 months
Profitability maintained
its average rank
Growth improved two
steps, and drove the
Profitable Growth rank
FGEN: A. Stotz Profitable Growth
CEO, 1998 – Present
Federico Lopez

16. 1615 September 2016
'12 '13 '14 '15 PTM
2 7 4 6 5
'12 '13 '14 '15 PTM '12 '13 '14 '15 PTM
2 7 4 5 5 1 9 2 8 6
'12 '13 '14 '15 PTM '12 '13 '14 '15 PTM '12 '13 '14 '15 PTM '12 '13 '14 '15 PTM
4 6 6 6 7 4 6 4 4 3 1 9 8 7 9 1 9 2 7 3
Benchmarked against 290 large Utilities companies worldwide.
Profitable Growth
Asset utilization Profit margin Sales growth Margin change
Profitability Growth
Source: A. Stotz Investment Research. Notes: 1 = top ranking and 10 = worst. Most recent year’s data is based on the past 12 months (PTM) of published data.
Profitable Growth has
improved to average rank
in the past 12 months
Profitability maintained
its average rank
Growth improved two
steps, and drove the
Profitable Growth rank
Profit margin improved
Growth came from this
good Margin change as
Sales growth fell in rank
FGEN: A. Stotz Profitable Growth
CEO, 1998 – Present
Federico Lopez

17. 1715 September 2016
 Do YOU want to see the Profitable Growth rank
for a company in YOUR portfolio?
 Leave a comment below with company name
and country of listing…and I’ll post it if I have it