LISTED property developer Cebu Landmasters, Inc. (CLI) saw a 24% increase in its first-half attributable net income to P1.7 billion from P1.37 billion last year, following developments across the company’s business segments.
First-half revenue increased by 24% to P11.31 billion from P9.15 billion a year ago, led by “progress across all segments,” CLI said in a stock exchange disclosure on Tuesday.
“This is driven by ongoing construction progress, a substantial rise in hotel and leasing revenues, an increase in new units qualifying for revenue recognition, and a one-off lot sale,” CLI said.
CLI said its hotel revenue received a boost from the opening of lyf Cebu City, which has 159 rooms, and The Pad Co-Living, which has 156 rooms. The company expects additional revenue with the opening of the 200-room Citadines Bacolod City.
The company’s leasing business grew by 42%, led by a higher gross leasable area, now at 40,575 square meters. The growth followed the turnover of new retail areas such as the new wing of Base Line Center, 38 Park Avenue Retail, and Banilad High Street.
CLI launched four new residential projects worth P8.3 billion, consisting of Tower 6 of The East Village in Davao, Tower 5 of Casa Mira Towers Palawan, Casa Mira Homes Butuan, and Velmiro Heights Davao.
Reservation sales rose by 10% to P11.6 billion, with 48% coming from Davao projects.
“There has been steady demand for our residential projects, as shown by the fast market absorption of our newly launched developments,” CLI Chairman and Chief Executive Officer Jose R. Soberano III said.
“Demand continues to outweigh supply in the Visayas and Mindanao regions, with our projects selling out within days after market introduction, such as Velmiro Heights Davao, which fully sold out in practically less than two days after market introduction. This is a clear indicator that we are offering a compelling product priced competitively for the right market,” he added.
To date, CLI has invested P6.76 billion in capital expenditures, with 67% allocated to project development and 19% to land acquisition. The company is currently finalizing negotiations for land acquisitions to support its strategic expansions into established and new markets.
CLI shares were unchanged at P2.60 apiece on Tuesday. — Revin Mikhael D. Ochave
