Listed mass housing developer 8990 Holdings Inc. posted 2.8 billion in net income in the first nine months of the year, up 34.8 percent from P2.1 billion a year earlier on higher sales of low-cost and medium-rise buildings (MRB).
In its quarterly report posted on the Philippine Stock Exchange website, 8990 said sales surged 44.9-percent in the January to September period to P6.33 billion from P4.37 billion a year earlier.
The company’s low-cost housing sales jumped 42.06 percent to P5.5 billion from P3.88 billion, on the back of higher prices and unit sales nationwide. Market acceptance of the firm’s contract-to-sell Gold program, which came from the state-run Home Development Mutual Fund or Pag-IBIG Fund, also helped boost its housing sales, it said.
Medium-rise buildings sales jumped 63.77 percent to P652 million from P398 million a year earlier.
Operating expenses swelled 53.8 percent to P1.02 billion from P663.4 million.
As of end-June, 8990 Holdings has acquired 85.3 hectares (ha) of land, expanding its existing landbank of 250 ha as of end-2013 to a total of 335 ha.
Housing units for development increased to 89,850 units from 64,405 units.
8990 Holdings President Januario Jesus Gregorio Atencio III said earlier that the company aims to increase its landbank to 500 ha, looking at sites in Davao (121 ha), Cebu (38 ha), Angeles (35 ha), Cavite (140 ha), Bulacan (93 ha), and in Alabang-Zapote Road in Las Pinas (1.4 ha).
The company is also eyeing to build more housing units to ease the 3.5-million housing backlog as of December 2013.
The company has completed a total of 5,603 housing units in North and South Luzon, Cebu, Iloilo and Davao as of end-2013.
In a five-year span, 8990 Holdings is set to complete 18 projects, expecting a total of P66 billion in revenues.