Global-Estate Resorts, Inc. (GERI), the tourism estates unit of Megaworld Corporation, reported a 15 percent growth in net income to P1.5 billion last year from the P1.3 billion earned in 2020.

In a disclosure to the Philippine Stock Exchange, the firm said its attributable net income rose 21 percent to P1.3 billion in 2021 from the previous year’s P1.1 billion.

GERI posted consolidated revenues of P5.0 billion for 2021, slightly lower than the P5.2 billion generated in 2020 due to a drop in leasing and hotel revenues.

Real estate sales contributed the lion’s share of revenues, registering a 3 percent increase to P3.7 billion as compared to the year before in line with the expansion in construction activity.

Real estate sales for the fourth quarter of 2021 alone came in at P1.0 billion, 49 percent higher than the same period last year.

In 2021, GERI continued to bank on the strong demand for leisure developments, with reservation sales growing by 25 percent year-on-year to P17.2 billion.

Its Boracay project led property sales with P4.1 billion, followed closely by Eastland Heights and Alabang West, which registered sales amounting to P3.6 billion and P3.4 billion respectively.

The rest of GERI’s offerings also registered strong demand with Arden Botanical Estate, Southwoods City, and Twin Lakes combining for P5.0 billion in sales during the year.

“For 2021, we continued to capitalize on the strong demand for properties in the provinces,” said GERI President Monica T. Salomon.

She added that, “the past couple of years also highlighted the potential of owning real estate as an investment. In fact, the underlying land values for our offerings continued to appreciate at a brisk pace in spite of the pandemic.”

Meanwhile, the company’s leasing revenues declined by 34 percent year-on-year to P409 million as consumer confidence remained subdued for the majority of 2021.

Revenue from hotel operations also declined by 27 percent to P146 million in 2021 from P201 million in the previous year as a result of prevailing travel restrictions.

However, the relaxing of restrictions in the fourth quarter of 2021 led to a resurgence in bookings, resulting in a 231 percent increase in quarterly hotel revenue to P78 million versus the preceding quarter.

“The increased economic activity in the last couple of months of the year has really been a boon for us. Furthermore, the relaxation of travel requirements will help sustain the ramp up in operations of our hotels which rely a lot on leisure and tourism-related activities,” said Salomon.