SM Prime posts P15.6 billion income

MANILA, Philippines — SM Prime Holdings Inc. (SM Prime), the listed property developer of the Sy Group, reported a net income of P15.6 billion in the nine months to September, up nine percent from P14.4 billion a year ago.

However, SM Prime’s consolidated revenue declined by six percent during the period to P56.8 billion.

Moving forward, SM Prime president Jeffrey Lim said the company anticipates more activities in the coming holiday season.

“SM Prime continues to develop new ways and solutions in its businesses by developing sustainable programs that provide a safe and secure environment for all of its stakeholders. This is in line with our anticipation of welcoming more people in our establishments, primarily in our malls and other commercial facilities, where thousands of our partner-tenants can showcase their products and services this coming holiday season,” Lim said.

Among the different business segments, SM Prime’s residential business, led by SM Development Corp., accounted for 56 percent. Revenue from this segment amounted to P32.1 billion, down six percent from last year’s P34.2 billion.

However, SMDC’s reservation sales reached P76.3 billion in the first three quarters, 14 percent higher than the P66.7 billion recorded a year ago.

Lim attributed this to the strengthened online presence and continuous construction of SMDC projects.

On the other hand, mall revenue remained down.

SM Prime’s Philippine mall business, which accounts for 28 percent of consolidated revenues, amounted to P15.8 billion during the nine-month period.

This was 14 percent lower than last year’s P18.3 billion as stricter community quarantine in August affected operations of non-essential shops.

But SM Prime’s China mall business reported a 28 percent increase in revenue during the nine-month period.

SM Prime’s commercial properties business, meanwhile, reported P3.8 billion revenue in the first three quarters, slightly higher than the same period last year.

“As the country continues to survive the pandemic, SM Prime will remain optimistic by providing support to the government, as well as convenience, services and entertainment to its customers,” Lim said.