Vol. XXI, No. 155-A [ Business World Online ]
Saturday, March 08, 2008 | MANILA, PHILIPPINES
SM Development Corp. (SMDC), the property arm of holding firm SM Investments Corp., yesterday reported a net income of P1.2 billion, buoyed by condominium sales that grew three-fold.
In a statement to the exchange, SMDC said consolidated net profit improved 24.2% as real estate operations generated a total sales of P3.7 billion, of which recognized revenue increased three-fold by 317% to P1.9 billion.
SMDC, however, said its net income was tempered by the absence of gains from marketable securities, particularly equities, which last year hit P225 million in gains.
But SMDC president Roger Cabunag said its milestone achievements in 2007 signified the public’s thrust and confidence in the company.
"Our sales sustained the momentum attained in previous years. The projects we started were well-received by the market," he said.
Consolidated revenues reached P2.7 billion, it said. Earnings before interest, taxes, depreciation and amortization (EBITDA), meanwhile, was at P1.4 billion.
SMDC attributed the robust real estate sales from two out of its five ongoing projects, namely, Chateau Elysee in Bicutan, Paranaque City and the Mezza Residences in Quezon City.
During the period, sales of the French Mediterranean-inspired condoville Chateau Elysee reached P763.1 million, while sales at the 38-storey condominium Mezza Residences amounted to P1.6 billion.
SMDC also rolled out three new projects: the Lindenwood Residences, a residential subdivision in Muntinlupa; Berkeley Residences, a 35-storey condominium building along Katipunan Avenue in Quezon City; and Grass Residences, a three-tower condominium near SM North EDSA also in Quezon City. — Lovely Nica P. Lee
