Robinsons Land Corporation (RLC), one of the leading diversified real estate companies in the Philippines, reported a decline in net income to P5.26 billion last year, from the P8.7 billion earned in 2019, due to the impact of the pandemic.
However, in a disclosure to the Philippine Stock Exchange, the firm said it exhibited resilience and agility with recorded quarter-on-quarter improvements in key operating indicators across its business units.
Net income in the fourthquarter of 2020 grew by 20 percent versus the previous quarter to end at P863 million.
Consolidated revenues registered at P25.40 billion last year, down 17 percent.
RLC’s Development Portfolio, accounting for 49 percent of consolidated revenues, increased by 30 percent to P12.26 billion to partially offset the decline from the Investment Portfolio which ended at P13.15 billion, 38 percent lower versus the same period last year.
Despite significant reduction in revenues, all business units generated positive EBITDA, displaying the healthy state of the Company’s diversified portfolio.
“Amid the challenges of 2020, we adopted new ways of working and embraced a mindset of innovation to continue serving our customers,” RLC President and CEO, Frederick Go said.
He added that, “We capitalized on new opportunities for growth and accelerated our digital transformation initiatives to become more agile. As the business gradually recovers from the impact of community quarantines, we will continue to support our employees, business partners, and stakeholders.”
RLC’sCommercial Centers Division reported sustained improvements in operational GLA, number of operational tenants, and foot traffic in the fourth quarter.
For 2020, consolidated revenues ended at P5.96 billion, while EBITDA closed at P4.11 billion. RLC is optimistic that the malls business will continue to rebound as quarantine restrictions ease and vaccinations start.
Through successful leasing activities on new developments and rental escalations in existing office buildings, the Office Buildings Divisionincreased revenues by 10 percent to P5.85 billion. EBITDA likewise grew 11 percent to Php5.08 billion.
For its Residential Division, RLC recorded P12.13 billion full-year revenues, 33 percent higher versus the same period last year. EBITDA accelerated by 40 percent to P4.17 billion. Sales take-up reached P7.29 billion.
Industrial and Integrated Developments Division (IID) grew revenues from operational industrial facilities by 90 percent to P262 million driven primarily by its two warehouse facilities. EBITDA increased three-fold to P139 million.
TheRobinsons Hotels and Resorts Division achieved a quarter-on-quarter revenue growth of 16 percent as Dusit Thani Mactan Cebu re-opened in November and as quarantine business improved in the fourth quarter. It ended 2020 with revenues of Php1.08 billion. “Heading into 2021, we expect to sustain the gradual recovery of our businesses as quarantine restrictions ease and consumer confidence starts to bounce back. We will continue to provide relevant real estate solutions, while prioritizing health and safety,” Go said.