GERI earnings rise to P1.56 B in 9 months


By James A. Loyola

Global-Estate Resorts, Inc. (GERI), a subsidiary of Megaworld Corporation, posted a 26 percent jump in net income to P1.56 billion from the P1.24 billion output during the same period last year.

GERI logo

In a disclosure to the Philippine Stock Exchange, GERI said that, excluding non-recurring gain of P189 million, net income increased by 10 percent to P1.4 billion.

The company’s net income attributable to parent company saw a 9 percent growth to P1.36 billion from P1.25 billion during the same period last year.

GERI’s consolidated revenues grew 19 percent from P4.95 billion to P5.92 billion during the first nine months of the year, fueled by the strong growth of its rental and hotel businesses.

The company’s hotel operations became the fastest growing segment during the nine months of 2019 as it exhibited a 430 percent growth to P665 million from P126 million in the previous year, following new
hotel openings in Twin Lakes and Boracay Newcoast.

“Our continuing thrust to help boost tourism in the country is even gaining more momentum as we open more hotels across our tourism townships,” said GERI President Monica T. Salomon.

Rental revenues, on the other hand, almost doubled to P571 million from P294 million during the same period last year.

“We have completed and fully leased-out our Southwoods Office Towers last year. This year, we are going to realize full year rental revenues from these projects,” adds Salomon.

Meanwhile,GERI’s real estate business remains stable with revenues at P4.2 billion during the first nine months of 2019. Real estate sales accounts for over 70 percent of its total revenues, which mostly came from the sale of residential and commercial lots as well as condominium units.

“The growth in our real estate revenues will be underpinned by project launches from our new and existing townships and integrated lifestyle communities. Moving forward, this should be sustainable as the company has a huge land bank for both vertical and horizontal developments,” explained Salomon.