Property developer Megaworld Corp. on Tuesday reported record first-half and second-quarter profits, driven by strong performance across all its core businesses.
The company’s net income for the first half of the year surged by 23 percent to P12.09 billion, while second-quarter profit grew 31 percent to P6.26 billion. The figures were disclosed to the stock exchange.
“Our strong first-half and second-quarter results reaffirm the strength and adaptability of our township strategy,” said Lourdes Gutierrez-Alfonso, president and chief executive of Megaworld.
“We are always focused on ensuring that our core segments will continue to deliver exceptional performance even in challenging environments,” said Alfonso.
Consolidated revenues for the first half climbed 10 percent to P43.09 billion, with second-quarter sales also rising by 10 percent year-on-year.
Megaworld’s leasing segment was a significant growth driver.
Office leasing sales increased 17 percent to P7.40 billion in the first half and almost 18 percent to P3.7 billion in the second quarter. This growth was attributed to new leases, rent increases and the addition of new assets.
The company secured nearly 100,000 square meters in new office leases during the second quarter, with demand coming from business process outsourcing (BPO) firms and multinational companies.
Retail leasing revenues rose 10 percent to P3.33 billion in the first half and 9.4 percent to P1.67 billion in the second quarter. This was a result of higher consumer foot traffic and the entry of new tenants. Megaworld Lifestyle Malls leased more than 30,000 square meters of new retail space during the first half of the year.
Hotel revenues saw the fastest growth among all segments, posting a 19 percent increase to P2.81 billion in the first half and a 12 percent increase to P1.39 billion in the second quarter. This was fueled by higher room rates and an increase in available rooms.
Meanwhile, real estate sales grew 9 percent to P27.12 billion in the first half and 10 percent to P14.03 billion in the second quarter, driven by strong demand in Metro Manila and provincial growth centers.
Megaworld, through its subsidiary Global Estate Resorts Inc., launched its 36th township, the 116-hectare Nascala Coast. The P5-billion beachside development is located in Nasugbu, Batangas, and will feature residential, commercial, and leisure facilities.
Megaworld operates 36 townships nationwide, spanning about 7,000 hectares, and plans to launch another new township later this year.
“What excites us most is the broad-based strength we are seeing—offices, malls, residential, and hotels are all growing,” Alfonso said.
“That gives us confidence as we scale further. We’re pushing forward with more townships, smarter spaces, and deeper integration across our developments, but at the same time, making sure that we build responsibly and sustainably,” she said.
