Starmalls Inc., the listed commercial arm of Vista Land & Lifescapes Inc., said Wednesday net income jumped 41 percent in the first quarter from a year ago, on the back of a double-digit increase in rental revenues.
Starmalls said in a statement first-quarter income reached P489 million, as revenues climbed 48 percent to P1.4 billion. Rental income increased 43 percent in January to March to P1.22 billion from P855 million a year earlier.
“We remain optimistic with the retail industry’s outlook for the rest of the year, as we continue to see sustained growth in the disposable income of Filipinos due to sound Philippine macroeconomic fundamentals,” said Starmalls chairman Manuel Villar Jr.
“In addition, we are now taking advantage of the synergies that have developed as a result of our integration into Vista Land,” he said.
Starmalls had 17 commercial assets in its portfolio as of end-March and was continuing to expand its leasable space.
Starmalls president Jerry Navarrete said the group was ramping up its expansion program and would deliver additional leasable space in the coming years. He said the group was also looking at Vista Land’s over 600 hectares of land across the country that were suitable for commercial development.
“The company’s growth rate was robust as our expansion programs are already contributing to our financial performance in addition to the increased rental revenues from our existing malls brought about by favorable rental reversions and increased occupancy,” Navarrete said.