Property developer Century Properties Group Inc. posted a net income of P1.48 billion in 2019, up 32 percent from a year ago, on the back of double-digit growth in revenues.
Century Properties said in a disclosure to the stock exchange 2019 revenues rose 34 percent to P14.32 billion from P10.70 billion in 2018 on the back of project completions from the company’s residential condominium segment and contributions from the growing horizontal affordable housing and commercial leasing businesses.
“With CPG’s new business lines affordable housing and commercial leasing taking up 44 percent of the net income, our company’s financial results for 2019 show that we have kept on track with our strategic business expansion. This is a strong testament of our continued commitment to deliver results and value to our shareholders,” said Century Properties chief finance officer and investor relations head Ponciano Carreon, Jr. said.
Net income contributions from residential condominium dropped 55 percent in 2019 against the previous year’s 76 percent due to increased share of the house and lot and rental businesses.
Horizontal affordable housing posted a 25-percent contribution against 17 percent in 2018, while leasing shared 19 percent compared with five percent in the previous year.
The balance of the contribution comes from the company’s property management business.
The property company in 2014 ventured into the commercial, office and horizontal development sector to serve unmet market demand and diversify revenue streams.
Century Properties over the medium term period plans to expand the horizontal affordable housing and commercial leasing businesses in the medium term to achieve a healthy balance of revenue mix with the vertical development segement.
Carreon said the company’s balance sheet remained strong with total assets expanding eight percent to P53.4 billion in December 2019 from P49.4 billion a year ago. Total stockholder’s equity also increased 12 percent to P19.6 billion from P17.5 billion.
“With the success of our company’s diversification strategy, CPG is now in a much better position to sustain growth and take on emerging market opportunities and challenges, and continue improving its operational efficiencies while exercising business prudence and maintaining a healthy balance sheet,” Carreon said.
