CLI sees net profit jumping by 42% in 2018

Property developer Cebu Landmasters Inc. (CLI) expects to post P1.7 billion in net profit next year, 41.7 percent higher than the projected bottom line this year, on robust revenues from its pipeline of residential projects.

CLI also plans to debut on the local bond market early next year to raise fresh funds for expansion. The company has obtained approval from its board to file for up to P10 billion in bond offering for shelf registration, the first tranche of which is expected to amount to P3 billion.

This year, CLI’s net profit is expected to exceed the P1.2-billion full-year goal on the back of P3.6 billion in revenue, CLI senior vice president Franco Soberano said in an investors briefing on Tuesday.

Next year will be “another banner year” for CLI, with revenue likely growing by another 47 percent to P5.3 billion, he added.

“We are very conservative and confident about these figures,” Soberano said.

As an indicator of future growth, CLI also expects reservation sales to reach P7 billion next year from at least P4 billion this year as the company plans to launch 20 new projects. To date, 46 projects are ongoing and in various stages of completion.

“We’re well on our way to our 2020 target,” Soberano said.

CLI’s target is to reach P3.5 billion out of P10 billion yearly revenue by 2020.

In the first nine months of this year, CLI’s revenue rose by 67 percent year-on-year to P2.77 billion while net profit rose by 77 percent year-on-year to P960 million.