Megaworld first-half earnings up 11%

Listed property developer Megaworld Corp. on Wednesday reported an 11% growth in its net income for the first half of the year, as consolidated revenues expanded by 22% on the back of the performance of its business segments.

Megaworld said its net income rose to P9.81 billion, while net income attributable to shareholders of the parent company grew 9% to P8.55 billion. Consolidated revenues expanded 22% to P39.10 billion.

The real estate business saw a 30% expansion on sales to P24.82 billion, citing high demand for properties in township developments in Taguig City, Cavite, Bulacan, Palawan, and Cebu.

“We continue to see robust demand for our residential properties outside of Metro Manila,” Megaworld president Lourdes Gutierrez-Alfonso said in an emailed statement.

“Before the year ends, we hope to launch more projects in the provinces as we remain on track to finish 2024 with more townships,” she added.

The company on Monday said it is set to spend P12 billion for an “active wellness township” in Batangas, in partnership with the owner and operator of The Farm at San Benito to mark its 33rd township development in the country.

Megaworld’s hotels and resorts reported a 38% increase in revenues to P2.36 billion, which it attributed to the resurgence of meetings, incentives, conventions, exhibitions activities, and local tourism.

Leasing revenues expanded by 6% to P9.33 billion, with the malls business revenues up 19% to P3.02 billion due to higher tenant sales and increased food traffic. Occupancy rates were recorded at 93% as of end-June.

Revenues from the premier offices segment stood at P6.31 billion, as the company recorded about 55,000 square meters of new leases of office spaces in the first half, mostly in McKinley Hill, Eastwood City, and The Mactan Newtown. The occupancy rate was seen at 87%.

Megaworld’s subsidiaries include the Richmonde Hotel Group International Limited, Eastwood Cyber One Corp., Empire East Holdings Inc., Global-Estate Resorts Inc., and Bonifacio West Development Corp.—AOL, GMA Integrated News