Mass housing developer 8990 Holdings Inc. said Tuesday net income in the first half fell 44 percent to P1.22 billion from P2.18 billion a year ago, following the delayed launching of new projects, shortage of construction finishings and momentum build-up from newly launched projects.
The company said in a statement first-half revenues dropped 36 percent to P3 billion from P4.7 billion in the same period last year, even as it launched five projects offering 32,992 units in the first six months.
Net income dropped 58 percent in the second quarter to 485 million from P1.15 billion in the same quarter in 2016.
It said despite the poor first-half figures, it was still bullish on the prospects for the second half of the year, as it planned to launch six projects in the second half that would add 27,772 units to its inventory.
“We have already anticipated a slow start in 2017 given, historically, a change in government normally leads to a temporary disruption in our growth as a result of these political changes,” 8990 Holdings president Januario Jesus Atencio III said.
Atencio said the company was hoping an upturn in the second half would enable it to meet its 2017 full-year profit and revenue targets.
The property earlier projected a P5.4-billion profit this year, up from last year’s P3.81 billion. Revenues are expected to reach between P10 billion and P13.5 billion this year, up from P9.41 billion in 2016.