VILLAR-LED Vista Land & Lifescapes Inc., the country’s largest homebuilder, reported 10 percent growth in both revenue and net income in the first half of the year on sustained strong demand for its residential projects.
The company posted net income of P3.1 billion in the first half, up 10 percent from last year’s P2.8 billion, while revenues also increased by 10 percent to P12.2 billion from P11.0 billion previously.
Reservation sales remained strong, growing by 9.5 percent to P28.3 billion, while revenue from real estate increased 10.6 percent to P12.2B.
As of end-June 2015, the company has already spent P13.4 billion or 54 percent of its capital expenditure (capex) budget for the year. It said 15.7 percent of the spending went to the construction of ongoing projects, 5.5 percent was used for land development while 3.9 percent was used for land acquisition.
Vista Land president and chief executive officer Manuel Paolo Villar told reporters that they are on track with their growth targets for the first half of the year.
He added that no fund-raising for additional capex funds will be needed for the second half of the year. “I think we raised about enough capex for the year,” said Villar.
The firm’s housing unit Camella contributed the most in revenues, accounting for 73 percent of the total. Of these, Community Philippines, the unit that targets the housing market outside of Mega Manila, accounted for 49 percent of the revenue while Camella contributed to 24 percent.
Other business units of the company include Vista Residences, which doubled its revenue contribution this year at 14 percent, and community development units Crown Asia and Brittany, which accounted for 8 percent and 5 percent, respectively, of the revenue.
Meanwhile, total consolidated assets of the company as of June 2015 amounted to P119 billion.
Vista Land has launched 27 projects worth an estimated P20.7 billion during the first half of the year. Out of these projects, 22 are in the low and affordable category, three are for the middle income segment, two are condominiums and 22 projects are located outside of Metro Manila.
The company said that a minimum of 15 more projects will be launched in the second half of 2015.
Vista Land chairman Manuel Villar Jr. said the company remains firmly on a solid growth path driven by the sustained momentum in their housing business and that they still plan to expand their developments to different areas in the country.
“Our plans to expand countrywide remain unchanged. We now have residential housing developments in 35 provinces and 90 cities and municipalities around the country. Our continued expansion in the provincial areas is taking advantage of the rising middle class in the country and has solidified Vista Land’s dominant position in housing in the Philippines,” said Villar.