GERI net income up 14% in 2018

MANILA, Philippines — Net income of Global Estate Resorts Inc. (GERI), the Andrew Tan developer of townships, grew 14 percent last year from a year ago on the back of strong real estate sales.

GERI”s net income grew P1.7 billion, up 14 percent from P1.5 billion a year ago, the company said in a statement.

Its attributable net income reached P1.5 billion last year, compared to P1.45 billion a year ago, an increase of roughly three percent.

Strong real estate sales supported net income growth, GERI said.

“The company’s robust income was heavily supported by its real estate sales, which grew 21 percent to P6.4-billion in 2018 from P5.3-billion the previous year,” it said.

During the period in review, the company launched more residential inventories in Twin Lakes and Boracay Newcoast, as well as in its Renaissance property in Pasig City last year.

The Pasig project, alone, called The Fifth is a two-tower condominium development that is expected to raise at least P8-billion in residential sales, said GERI president Monica Salomon.

“At the heart of GERI’s continuous growth since being consolidated under the Megaworld Group is its expansive land bank, which the company has utilized to develop townships and integrated lifestyle communities that are centered on tourism and leisure. To date, we still have more land to develop, allowing us to explore new opportunities in tourism developments,” she said.

The company’s rental segment also performed strongly.

Revenues from the company’s rental businesses soared by 165 percent to P427-million in 2018 from the previous year’s P161-million.

Salomon said that for the first time, GERI was able to see full-year revenues from its biggest mall to date, Southwoods Mall.

The commercial complex is located in GERI’s 561-hectare Southwoods City township in Biñan, Laguna. It also opened its first two office towers in Southwoods City last year.

Besides the Southwoods City township, GERI has four other tourism estates and two integrated lifestyle communities across the country covering more than 3,000 hectares of land, namely: Boracay Newcoast in Boracay Island, Aklan (150 hectares); Twin Lakes in Batangas near Tagaytay (1,200 hectares); Sta. Barbara Heights in Sta. Barbara, Iloilo (173 hectares); Alabang West in Las Piñas (62 hectares); Eastland Heights in Antipolo, Rizal (640 hectares); and The Hamptons Caliraya in Lumban-Cavinti, Laguna (300 hectares).

Tan’s son Kevin, said the township developer would continue to expand across the country, riding on strong growth that is gaining momentum in all three regions, Luzon, Visayas and Mindanao.