MANILA, Philippines — Global-Estate Resorts Inc.(GERI), the integrated leisure and tourism brand of property giant Megaworld Corp., posted a 26 percent income jump in the nine months to September, driven by growth in its hotel and rental segments.
In a disclosure to the Philippine Stock Exchange, GERI said net income from January to September went up to P1.6 billion from P1.2 billion in the same period last year.
Excluding a non-recurring gain of P189 million, net income increased by 10 percent to P1.4 billion.
Consolidated revenues also grew 19 percent to P5.9 billion from P5 billion in the same period last year.
“This was fueled by the strong growth of the rental and hotel businesses,” the company said.
GERI said its hotel operations became the fastest growing segment during the period as it registered a 430 percent growth in revenues to P665 million from P126 million the previous year, boosted by new hotel openings in Twin Lakes and Boracay Newcoast.
Rental revenues, on the other hand, almost doubled to P571 million from P294 million during the same period last year.
“Our continuing thrust to help boost tourism in the country is even gaining more momentum as we open more hotels across our tourism townships,”GERI president Monica Salomon said.
“We have completed and fully leased out our Southwoods office towers last year. This year, we are going to realize full-year rental revenues from these projects,”Salomon added.
In contrast, GERI said its real estate business remains stable despite posting a mere one percent decline to P4.16 billion from P4.2 billion in the same period last year.
Real estate sales account for over 70 percent of the company’s total revenues, which mostly came from the sale of residential and commercial lots as well as condominium units in Twin Lakes, Southwoods City and Boracay Newcoast.
“The growth in our real estate revenues will be underpinned by project launches from our new and existing townships and integrated lifestyle communities. Moving forward, this should be sustainable as the company has a huge landbank for both vertical and horizontal developments,”Salomon said.
GERI, along with its parent company Megaworld, are jointly developing a 251-hectare property located at the boundary of Trece Martires and Tanza in Cavite called Arden Botanical Estate. The expansive development, which will be curated to engage and stimulate the senses, will be highlighted by flower gardens and green parks.
At present, GERI has integrated tourism developments across the country covering more than 3,000 hectares of land namely: Twin Lakes in Laurel, Batangas (1,200 hectares); Southwoods City in Biñan, Laguna and Carmona, Cavite (561 hectares); Alabang West in Las Piñas City (62 hectares); Boracay Newcoast in Boracay Island, Aklan (150 hectares); Sta. Barbara Heights in Sta. Barbara, Iloilo (173 hectares); Eastland Heights in Antipolo, Rizal (640 hectares); and The Hamptons Caliraya in Lumban-Cavinti, Laguna (300 hectares).