Posted on April 11, 2012 10:36:26 PM [ BusinessWorld Online ]
The Villar-owned company said it earned a net income of P3.53 billion last year, up by 17.3% from P3.01 billion in 2010.
This, as revenues rose by 18.2% to P14.753 billion in 2011 from yearago levels, a financial statement showed.
Real estate sales, which accounted for a bulk of the revenues, rose due to an “increase in the overall completion rate of sold inventories,” the report read.
Reservation sales reportedly jumped by almost a quarter to P30.51 billion in 2011 from P24.76 billion the year before.
Two of the business units held by the company, Camella Homes and Communities Philippines, contributed 33% and 32% respectively of the company’s P13.51-billion real estate sales in 2011, which was reportedly a record year for revenues, net income and reservation sales performance for Vista Land.
The firm further gained income from foreign exchange gains, enough to offset a loss from an associate.
“Our strategy of targeting the affordable and low-end market segments has been very successful, resulting in particularly strong growth from Camella Homes and Communities Philippines,” Richard B. Tan, Jr., chief financial officer of the company, said in the statement.
Costs and expenses meanwhile rose by 23.6% to P11.214 billion with a bulk accounted for by cost of real estate sales.
Manuel Paolo A. Villar, chief executive and president of the company, expects Vista Land to keep up its performance this year.
“We are projecting around 20% revenue and earnings growth for 2012 which should result in another record year for our company,” he said in the statement.
“We launched 23 new projects in 2011 valued at about P21 billion,” said Mr. Villar. “I believe that given our track record in execution and in identifying key market trends, the growth rates delivered by our company are sustainable.”
Mr. Tan added that the company would also increase its capital expenditure this year, which may exceed P15 billion.
Funds will be funneled again for mass housing, particularly under its flagship brand Camella Homes, as demand for housing reportedly remain robust. -- MJOC
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