Megaworld earnings up 16% to P3.8 B in Q1

MANILA, Philippines — Megaworld Corp. reported a first quarter net  income of P3.8 billion, up 16 percent from P3.3 billion a year ago. 

The strong performance of its core businesses – residential sales, leasing from offices and lifestyle malls and hotel operations – all contributed to the company’s double digit growth.

In terms of revenue, Megaworld raked in P14.9 billion during the quarter,  15 percent higher than the previous year.

Around 64 percent of the total revenue came from the company’s residential business while 26 percent came from rentals, and four percent from hotel operations. The rest came from the company’s non-core revenues. 

Megaworld chief strategy officer Kevin Tan said the property giant is likely to sustain the strong momentum for the rest of the year. 

“It is always encouraging to see all of our core businesses exhibiting positive growth during the first quarter as this sets our pace for the rest of the year. We will be working towards maintaining the growth momentum until year-end. We are confident that stronger numbers will be achievable given our pipeline of projects this year,” Tan said.

Residential sales grew 11 percent to P9.5 billion, while the rental business  soared 16 percent to P3.9 billion.

The company’s hotel business was the fastest growing segment during the quarter, expanding 56 percent to P574 million.

 Tan said the company launched two new hotels last year – the Savoy Hotel Manila in Newport City, and the Twin Lakes Hotel near Tagaytay. 

“This year, we expect to add over 1,000 rooms as we open Belmont Hotel Boracay, Hotel Lucky Chinatown, and Savoy Hotel Mactan Newtown,” reveals Tan said.

Megaworld, which is now on its 30th year, already has 24 masterplanned townships and integrated lifestyle communities across the country starting with its pioneering township, the 18.5-hectare Eastwood City in Libis, Quezon City.