Century Properties Group Inc. reported a three percent decline in first-half net income to ₱1.18 billion, as rising interest expenses and income taxes offset stronger operating margins and steady top-line growth.

In a disclosure to the Philippine Stock Exchange, the firm said consolidated revenue for the six months through June reached ₱7.62 billion, virtually unchanged from the same period last year.

Earnings before interest, taxes, depreciation, and amortization rose nine percent to ₱2.31 billion, driven by cost discipline across its core divisions.

Gross profit advanced nine percent year-on-year to ₱3.74 billion, pushing the gross margin up to 49 percent from 45 percent.

The results come amid Century Properties’ ongoing pivot from high-rise urban condominiums toward horizontal, suburban residential developments outside Metro Manila.

The affordable housing unit, PHirst Park Homes Inc., remained the primary growth engine, generating 73 percent of total revenue after a seven percent expansion during the period.

Premium house-and-lot developments accounted for 16 percent of revenue, while commercial leasing and property management contributed seven percent and four percent, respectively.

Reservation sales, an indicator of future revenue, gained 11 percent despite broader macroeconomic uncertainty and global geopolitical tension, reflecting sustained demand from first-time homebuyers and overseas Filipino workers.

Marco R. Antonio, Century Properties chief executive officer, said the strategy targets structural end-user demand in rapidly developing provinces. With most of its vertical inventory sold, the company is redirecting capital toward landed housing developments, while keeping vertical projects limited to high-return opportunities.

Higher borrowing costs and tax expenses weighed on bottom-line figures despite operational gains.

Rodel V. Marqueses, Century Properties chief financial officer, said the firm will maintain a conservative balance sheet and monitor net debt-to-EBITDA levels as it funds its upcoming land development pipeline. (James A. Loyola)