FILINVEST Land, Inc. (FLI) and Century Properties Group, Inc.
(CPG) both reported higher profits for the first six months of 2018,
buoyed by the strength of their respective property businesses.
In a statement issued Friday, FLI said net income accelerated by 9%
to P2.88 billion from January to June, as revenues improved by 6% to
P10.65 billion.
The Gotianun-led firm observed a 28% increase in rental revenues to
P2.6 billion for the period, following the completion of more office and
retail buildings. Recurring income now accounts for 43% of the
company’s total profit, in line with its goal for the unit to contribute
a larger share to earnings in the coming years.
FLI currently has 27 office and retail developments spanning 595,000
square meters (sq.m.) in gross leasable area (GLA). The company looks to
end the year with an additional GLA of 200,000 sq.m. With this, the
firm said it is on track to meet its target of 1.5 million sq.m. in
terms of GLA by 2022.
Meanwhile, the company launched P16 billion worth of residential
projects during the first half, catering to the affordable and middle
income markets with its Futura and Aspire brands.
“We are looking forward to the company’s further growth as we
complete our investment property expansion plan. We expect profitability
to increase as our newly opened office buildings and shopping malls
stabilize, and additional office buildings become operational within the
year. We forecast residential revenues to remain stable,” FLI President
and Chief Executive Officer Josephine Gotianun-Yap said in a statement.
On the other hand, CPG’s net income went up 10% to P490 million
during the first half, after revenues jumped 40% to P4.7 billion. The
company attributed the increase to the sales of units in its residential
condominium projects.
This includes sales of units in the Boracay Tower of Azure Urban
Resort Residences in Parañaque City, the Iguazu tower of the Acqua
Private Residences in Mandaluyong, and the Roxas West, Quirino West, and
Quezon South Towers of The Residences in Quezon City. The buildings
have a combined sales value of P15 billion from 3,500 units.
“We see this positive trend in our bottom line to continue. While we
continue to recognize the revenue from the unit inventory of our
condominium developments, we are also seeing a higher income stream from
our new allied real estate segments,” CPG Chief Financial Officer and
Head for Investor Relations Ponciano S. Carreon, Jr. said in a
statement.
The Antonio-led firm also saw P500 million in revenue contribution
from its Phirst Park Homes, its affordable housing segment. The company
diversified into the affordable market in 2017 in a bid to take
advantage of the lack of housing units in the country, translating to a
housing backlog of six million homes.
“As the company’s diversification program starts to bear fruit, we
will continue to work towards improving operational efficiencies to
maximize growth opportunities and deliver more value to our shareholders
in the near future,” Mr. Carreon said.
Shares in FLI gained 3.45% or five centavos to close at P1.50 each at
the stock exchange on Friday, while shares in CPG rose 6.74% or three
centavos to close at 47.5 centavos each. — Arra B. Francia
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