Vol. XXII, No. 192 [ BusinessWorld Online ]
Monday, May 4, 2009 | MANILA, PHILIPPINES
PROFITS OF high-end real estate developer Landco Pacific Corp. dwindled in 2008 with sales down by nearly a quarter.
Landco Pacific’s revenues were cut by 24.89% to P1.46 billion from P1.94 billion in 2007, sending profits plunging to just P42.06 million last year from P353.99 million in 2007, documents submitted to the Securities and Exchange Commission showed.
Landco Pacific President Alfred Xeres-Burgos, Jr. earlier said his company would focus on existing projects this year than expand due to a slowdown in demand.
The company said a total of 17 projects, including residential areas, commercial lots, resorts, farms, and memorial parks covering a total area of 10.15 million square meters, were still under construction nationwide last year.
Mr. Xeres-Burgos added that his firm would be conserving cash to ensure enough reserves in case the credit market tightens because of the international financial crisis.
The firm ended 2008 with P162.94 million in cash, from P131.25 million the previous year.
In February, stockholders of Pangilinan-led Metro Pacific Investments Corp. approved a plan to sell a fifth of its 51% in Landco to partner AB Holdings Corp., boosting the latter’s stake in the property firm to 70%.
Metro Pacific had said the move would allow it to focus on other investments, such as infrastructure and water.
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