MANILA, Philippines — Publicly listed affordable housing developer 8990 Holdings Inc. recorded its most productive semester thus far as revenue and profit surged to record levels.
In a statement, 8990 said its net earnings in the first six months of the year nearly doubled to P2.39 billion, driven by the triple-digit growth in second quarter income which reached P1.38 billion from just P469.2 million in the same period a year ago.
It said strong revenue growth in the first half of the year supported bottom line growth performance. Revenues jumped 97.5 percent to P6 billion from P3.04 billion a year earlier, equivalent to 4,159 homes or almost double the 2,216 homes delivered in the first half of 2017.
Mass housing contributed 59 percent of total revenue while medium rise buildings and high rise buildings combined brought in 41 percent.
Top revenue generators in terms of value were NCR which brought in 32 percent of total revenues, followed by Iloilo and Bacolod as new projects in the region generated 19 percent of total.
“We are thrilled to report that we were able to exceed our internal targets. This makes me even more confident that we will hit our P11.5 billion revenue goal by the end of the year,” 8990 president and CEO Willie Uy said.
Unrealized sales by the end of June 2018 was at P709 million which the company expects to book in the second half of 2018.
Gross profits grew 75.6 percent year-on-year to P3.1 billion. However, slightly higher costs of goods resulted in a narrower margin of 52.1 percent from 58.6 percent in 2017.