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Freeman Cebu Business

In 2030: Gokongwei Group property arm aims P25B net income

Ehda M. Dagooc - The Freeman

CEBU, Philippines — Robinsons Land Corporation (RLC), the property arm of the Gokongwei Group, has unveiled an ambitious long-term strategy, “Vision 5-25-50,” to hit P25 billion in net income by its golden anniversary in 2030.

The move signals a major shift for one of the Philippines’ top property developers as it focuses on fast-growing markets, especially with a strong expansion in Cebu.

According to RLC president and chief executive officer Mybelle V. Aragon-GoBio, the initiative is anchored on five core pillars designed to unlock sustainable and recurring revenue streams.

“Vision 5-25-50 is about future-proofing our business while maximizing shareholder value through deliberate, strategic expansion,” Aragon-GoBio said.

Under the plan, RLC is significantly scaling its investment asset base. The company is targeting a 50 percent increase in gross leasable mall and office space, a 25 percent growth in hotel room keys, and a twofold expansion in its logistics portfolio by the end of the decade.

Cebu—already a key regional hub for the firm—is expected to benefit from intensified investment, as RLC doubles down on provincial growth corridors with strong demographic and consumption fundamentals.

RLC’s development roadmap highlights ongoing capital recycling via its real estate investment trust, RL Commercial REIT Inc. The company will continue monetizing mature assets through strategic infusions and share sales, with proceeds funneled into new projects to drive future earnings.

A key thrust of the transformation involves premiumization. RLC plans to reposition select assets to command higher valuations, enhance its customer experience, and differentiate offerings across its residential, hospitality, and commercial verticals.

“We are upgrading our portfolio to compete not just on scale, but on quality and value creation,” Aragon-GoBio added.

The company will also accelerate project pipelines through joint ventures and strategic alliances. Future developments include integrated entertainment complexes, sustainability-led infrastructure, and ecosystem services aimed at increasing customer retention and brand affinity.

RLC reported P11.03 billion in consolidated revenues for the first quarter, flat versus year-ago levels, yet with a 4 percent increase in net income to P3.48 billion (excluding non-recurring gains).

Recurring income, which now anchors RLC’s growth trajectory, grew 8 percent year-on-year to P 8.52 billion, led by robust performance in malls, offices, hotels, and logistics.

Robinsons Malls, a bellwether for the group's retail operations, saw rental income rise 8 percent to P3.43 billion, as foot traffic and tenant demand continued to normalize. Total mall revenues stood at P4.72 billion.

Meanwhile, office leasing climbed 6 percent to P2.02 billion, supported by steady occupancy across RLC’s 32-building portfolio covering 793,000 sqm.

The hospitality division registered double-digit growth, with revenues up 12 percent to P1.51 billion.

Robinsons Hotels and Resorts now operates 26 properties with more than 4,000 room keys, and is reportedly eyeing Cebu as a key growth market for leisure and business travel.

Notably, logistics and industrial parks delivered the fastest growth, with revenues jumping 40 percent to P268 million, signaling the sector’s potential as a future earnings driver. Deferred land sales to joint ventures contributed P 223 million in estate development revenue.

In the residential segment, RLC Residences posted P846 million in net sales from organic projects and P47 million from JV units.

Total recognized revenue reached P1.95 billion, excluding P336 million from equity shares in JV developments.

“We began the year with strength and momentum, anchored by our solid and growing recurring income backbone,” Aragon-GoBio said.

“We are seeing the results of our diversified strategy, our commitment to operational discipline, and our relentless focus on delivering long-term value,” she added. — (FREEMAN)

ROBINSONS

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