Property developer SM Prime Holdings Inc. said Monday net income rose 22 percent in the third quarter to P8.30 billion from P6.82 billion in the same period last year on strong contribution from residential and mall businesses.
SMPH said in a disclosure to the stock exchange the third-quarter revenues climbed 13 percent to P27.98 billion from P24.79 billion a year ago.
The strong third-quarter earnings pushed SMPH’s nine-month income net income to P27.60 billion, up 18 percent from P23.44 billion in the same period last year as the nine-month consolidated revenues rose 14 to P85.03 billion from P74.56 billion.
Consolidated operating income climbed 17 percent to P41 billion from P34.91 billion last year.
“SM Prime’s recent developments and expansion programs in various progressive cities in the Philippines have contributed significantly to the company’s strong performance in the first nine months of 2019. Our core businesses, led by the malls and residential segments, are set to sustain the strong performance as we approach the fourth quarter of the year,” SMPH president Jeffrey Lim said.
Mall revenues recorded an 8-percent growth in the first nine months to P42.03 billion from P38.86 billion while same-mall sales growth was sustained at 7 percent.
Mall operating income increased by 9 percent to P23.95 billion from P22 billion, while operating income margin was stable at 57 percent.
SMPH currently operates 81 malls, of which 74 are located in the Philippines and seven in China.
The company opened SM City Olongapo Central in the third quarter and SM Center Dagupan in October.
The company’s residential business, led by SM Development Corp., reported a 26-percent growth in revenues for the first three quarters to P31.92 billion from P25.26 billion.
Reservation sales grew 26 percent from January to September this year to P66.42 billion from P52.80 billion reported last year.
Newly-launched projects in 2019 included Glam Residences in Quezon City, Sail Residences in Pasay City, Lane Residences in Davao City and Style Residences in Iloilo City.
Meanwhile, SMPH’s commercial properties group and SM Hotels and Convention Centers posted a combined revenue growth of 11 percent in the first nine months to P6.83 billion from P6.17 billion.
CPG operates 12 office buildings with gross floor area of more than 662,000 square meters while SMHCC manages eight hotels with more than 1,900 rooms, four convention centers and three trade halls including the recently launched Park Inn by Radisson-Iloilo and Park Inn by Radisson-North EDSA.