MANILA–Megaworld, the country’s leading integrated urban township developer and biggest office developer and landlord, posted a net income of P21.6-billion (inclusive of a P12.1-billion non-recurring gain) in 2014, 139 percent higher than in 2013. Without the non-recurring gain, net income went up by 14 percent to P9.4-billion last year – reflecting an 18 percent annual growth since 2009, when net income was P4-billion, or more than double in five years.
Consolidated revenues, excluding non-recurring gain, rose by 15 percent to P41 billion with real estate sales increasing by 16 percent year-on-year to P24.6-billion and rental income growing by 17 percent to P7 billion.
“Last year was a milestone for us. With Megaworld celebrating its 25th anniversary, we raked in record earnings and managed to grow our land bank to over 4,000 hectares. Our income growth last year was driven by both real estate sales and rental income. We have a more diversified real estate sales mix that is propelled by our integrated urban township developments in Metro Manila, Cebu and Iloilo as well as tourism-related projects in Tagaytay and Boracay,” said Dr. Andrew L. Tan, Megaworld chairman and CEO.
“In the meantime, our rental income is growing in line with our expectations. Continued growth in our office and mall leasable space will provide the catalyst for exceeding P10-billion in rental income in 2016. Last year also saw the consolidation of Global-Estate Resorts, Inc. (GERI), Empire East Land Holdings, Inc. (ELI) and Suntrust Properties, Inc. (SPI) under Megaworld. This enabled us to strengthen our land bank nationwide,” he said.
“We expect to maintain similar growth momentum generated in the past, achieving a double-digit net income growth every year on the back of a stronger and bigger township portfolio,” he said.
Five townships that were launched last year and another five townships to be launched this year will increase the company’s township developments to 20 by the end of 2015.
Last year, the company launched the following townships: Woodside City in Pasig City (12.3 hectares); Southwoods City in the boundaries of Cavite and Laguna (561 hectares); Davao Park District in Lanang, Davao City (11 hectares); Alabang West in Las Pinas City (62 hectares) and Suntrust Ecotown in Tanza, Cavite (350 hectares).
Just last week, the company announced two of the five township developments lined up for this year: The Upper East (34 hectares) and Northill Gateway (50 hectares), both in Negros Occidental. (PR)