Megaworld Corp., the property development arm of billionaire Andrew Tan, said Wednesday net income attributable to the parent company rose 16 percent in the first six months to P8.3 billion from P7.2 billion in the same period last year.
The company said excluding a non-recurring gain of P189 million in the first six months, it saw a 15-percent increase in earnings from a year ago.
Megaworld said in a disclosure to the stock exchange consolidated revenues increased 18 percent to P31.7 billion in the first six months from P27 billion in the same period last year, led by the double-digit growth in residential sales and leasing revenues from office and hotel businesses.
“The current economic landscape is quite favorable so we continue to be optimistic on the remaining five months of 2019. Interest rates are on a downtrend, which is a very positive news for our residential business. Vacancies in both office and commercial segments are on an all-time low, and we don’t see this changing in the near future due to the robust sign-ups we are seeing from big companies and business owners,” Megaworld chief strategy officer Kevin Tan said.
“Tourism growth, likewise, remains strong and this should continue to fuel our blossoming hotel operations especially that we are opening more hotels henceforth,” Tan said.
The group said the group’s residential business accounted for 63 percent of total revenues in the first half, followed by rental business with 25 percent and hotel operations with 4 percent. Jenniffer B. Austria
Residential sales climbed 11 percent to P20.2 billion in the first six months from P18.1 billion in the same period in 2018.
Megaworld said it launched P39 billion in new inventory in the first half of the year while sales reservations reached P80 billion by the end of the period.
Leasing revenues jumped 20 percent to P8.1 billion in the first six months from P6.8 billion in the same period in 2018.
The company is expected to complete more than 230,000 square meters of retail space by the end of the year.
