Philippine Realty and Holdings Corp. posted a consolidated net income of ₱18.49 million in the first quarter of 2019, up 73 percent from ₱10.71 million year-on-year.
Philrealty president and chief executive officer Alfredo del Rosario said he was pleased with the company’s higher bottom line given the soft market demand for real estate products in the first three months of the year.
“We made sure that we kept a tight rein on our operational costs and expenses as we recognized that sales are typically slow at the start of the year. It was efficient operations that kept us in the game during the first quarter of this year,” he said.
Del Rosario cited the reduction in the company’s cost of service and units sold, which stood at a more efficient 55 percent of total real estate sales compared to 63 percent a year ago.
The efficient management of costs and expenses trimmed service and unit costs by a significant ₱33.7 million, more than enough to compensate for the 11 percent decline in real estate sales during the same period.
Real estate sales are sale transactions that materialized during the quarter from the company’s real estate inventory in the Skyline and SkyVillas Towers in One Balete, Quezon City and in The Icon Plaza in BGC.
Rental Income also contributed to the higher net income, rising by ₱2.8 Million or by 16 percent from a year ago levels due to the increase in leasable spaces, as well as new and additional lease agreements entered into by the company. Management fees grew 10 percent from a year-ago level with new engagements obtained by one of the company’s subsidiaries.
“Stable and very prudently managed” is how Philrealty chief financial officer Edmundo Medrano described RLT’s state of health based on its balance sheet numbers.