Posted on May 16, 2011 11:01:50 PM [ BusinessWorld Online ]
LUCIO C. Tan-led real estate firm Eton Properties Philippines, Inc. posted a slower profit growth for the first quarter, prompting the firm to forecast a similar weakening in the net income hike by yearend.
“Eton Properties posted a first-quarter net income of P199 million, up by 7.4% from the same period in 2010,” the real estate firm said in a statement yesterday.
The rise is slower than that seen in the same period last year when earnings surged by more than tenfold to P185 million.
“We expect to reach P1 billion [in profits this year],” Danilo E. Ignacio, president of Eton Properties, said in a briefing yesterday.
If the target is reached, this will mean just a 36.6% profit growth versus the 154% increase seen in 2010. The property developer expects to realize revenues from 3,600 residential units that will be delivered this year.
So far, revenues hit P946 million for January to March, inching up by 2.6% from P922 million in the previous year.
“The revenues originated from the higher recognition of sales due to ongoing construction of [several developments],” the company said.
“Increased rental income from completed business process outsourcing offices...brought up rental income for the quarter to P88 million, more than double the previous years’ P27 million,” Eton Properties added.
The company has yet to release its first-quarter financial report.
This year, Eton Properties will launch the first luxury residential project in Eton Centris, a 12-hectare mixed-use township development at the corner of EDSA and Quezon Avenue.
Eton Properties operates three major brands, Eton for the high-end segment, Belton for the middle-income market, and First Homes for “economic” housing.
Since starting operations four years ago, Eton Properties has launched a total of 41 projects.
Shares in Eton Properties closed 1.2% lower yesterday at P3.30 each from Friday. -- Neil Jerome C. Morales
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