RLC posts P4-B profit in first half

Published August 9, 2019, 12:00 AM

by manilabulletin_admin

By James A. Loyola

Robinsons Land Corp. (RLC), one of the Philippines’ leading real estate companies, posted a 20 percent growth in net income to P4.00 billion in the first half of 2019 from P3.33 billion in the same period last year.

RLC President and CEO Frederick Go
RLC President and CEO Frederick Go

In a disclosure, RLC said consolidated revenue for the first half of 2019 was up by 13 percent to P14.79 billion from P13.10 billion, while overall EBITDA grew by 15 percent to P8.02 billion from P7.00 billion in the same period of 2018.

The sustained growth was driven by steady performance of the investment portfolio which rose by 14 percent to P9.89 billion, and accounted for 67 percent of consolidated revenue.

While the development portfolio has improved and rose by 10 percent to P4.89 billion led by the residential division followed by commercial lot sales in the second quarter.

“We continue to post strong earnings growth as we remain optimistic about new opportunities. We look forward with much enthusiasm to an even better financial performance in the near future,” said RLC President and CEO Frederick Go.

The Commercial Center Division posted an 11 percent year-on-year growth in consolidated mall revenues to P6.45 billion in the first half of the year.

This was driven by strong rental revenue all across the existing malls with same mall rental growth of 7 percent coupled with the increasing contribution from new malls opened last year.

The Office Buildings Division continues to post strong topline growth for the first half of the year as the division registered the highest growth in RLC’s investment portfolio. Revenues surged by 29 percent to P2.3 billion from P1.80 billion the same period last year.

This was mainly due to the higher rental revenues from existing buildings and successful leasing activities of new buildings.

The Hotels and Resorts Division posted a 11 percent increase in revenues to P1.08 billion mainly due to the contribution from new hotels opened this year and last year.

The warehouse business under the Industrial and Integrated Developments Division (IID) registered revenues of P52 million in the first six months of 2019.

RLC’s Residential Division posted stellar performance with record-breaking net pre-sales of P9.65 billion in the first half of 2019.