By Richmond S. Mercurio (The Philippine Star) | Updated January 13, 2015 - 12:00am
MANILA, Philippines - Robinsons Land Corp. (RLC), the property arm of the Gokongwei family, saw its earnings rise in its 2014 fiscal year on the back of stronger revenues from its commercial, residential, office and hotel businesses.
In a disclosure to the Philippine Stock Exchange, RLC said its net income for fiscal year 2014 ending September improved 5.8 percent to P4.73 billion from P4.48 recorded during the same period the previous year.
Gross revenues also grew seven percent year-on-year from to P17.05 billion from P15.9 billion.
RLC’s commercial operations accounted for the largest real estate revenue contribution at P8.10 billion, supported by the newly opened malls such as Robinsons Malolos, Robinsons Butuan, Robinsons Santiago, Robinsons Roxas and Robinsons Malabon.
Its residential business likewise realized revenues of P5.87 billion due to higher level of buyers meeting the equity requirement of 15 percent in recognizing sales based on percentage of construction completion.
RLC said its office buildings division also remained to be sturdy, as revenues grew seven percent to P1.54 billion from P1.44 billion during the same period the prior year.
“This seven-percent increase in lease income was due to new office buildings Cyberscape Alpha and Cyberscape Beta, with occupancy rates of 46 percent and 68 percent as of Sept. 30, 2014,” the real estate developer said.
The hotels division, a major contributor to RLC’s recurring revenues, posted a 2.5-percent increase in gross revenues to P1.53 billion due to the addition of Go Hotels Iloilo and Go Hotels Ortigas Center which opened during the year.
RLC is one of the leading real estate developers in the country based on revenues, number of properties and total project size.
Aside from the company’s positive earnings finish in 2014, RLC’s proposed P12-billion bond issue has also received the highest mark from the Philippine Rating Services Corp. (PhilRatings).
“The credit rating for Robinsons Land Corp.’s proposed bond issue of P10 billion, with an oversubscription option of up to P2 billion, is PRS Aaa,” PhilRatings said yesterday.
PRS Aaa is the highest rating assigned by PhilRatings and obligations rated PRS Aaa are of the highest quality with minimal credit risk while the obligor’s capacity to meet its financial commitment on the obligation is extremely strong.