PROPERTY giant Megaworld Corp. grew its net income in the first half of the year by 11 percent to P6.69 billion from P6.03 billion a year ago driven by strong growth in rental income from its office, malls and commercial space leasing.
The company said on Thursday that net income attributable to the parent company’s shareholders reached P6.44 billion in the first six months, up 11 percent from the P5.81 billion recorded in the first half of 2016.
It said rental income in the first half climbed 20 percent to P5.83 billion from P4.84 billion in the same period last year, while residential revenues were steady at P16.77 billion
“It has been a strong first half for Megaworld as we continue the trajectory of our rental income while maintaining revenues for our residential business. Across businesses, there is an indication that we will continue our double-digit growth until the end of the year,” Megaworld Senior Vice President Francis Canuto said in a press release.
The property developer broke the one-million square meter mark in total office and commercial leasable spaces last year, and said that it plans to do the same this year. Office inventory currently stands at 851,000 sqm while its commercial and retail spaces have reached 273,000 sqm.
“Megaworld remains to be the largest office developer and lessor in the country. We are well-positioned to retain this leadership as we are on track to surpass the one-million square meter mark in office space inventory alone by the end of this year,” Canuto added.
Meanwhile, its hotel business posted income growth of 10 percent from P590 million in the first half of last year to P648 million in the first six months of this year.
“In the long term, we see our hotel operations to be a major contributor to our growth as we continue to accelerate our hotel developments to support the country’s tourism industry,” Canuto said.
Megaworld said that in the coming months, it plans to launch more “integrated lifestyle communities,” or property developments featuring nature as an extended amenity. Its roster of developments currently consists of 22 integrated urban townships and integrated lifestyle communities nationwide.