Eton Properties Philippines Inc., the real estate arm of the Lucio Tan group, posted a 77-percent year-on-year rise in first-quarter net profit on the back of higher rental income from its commercial property portfolio.
In a statement, Eton reported that its net income in the first three months rose to P50.92 million from P28.8 million in the same period last year. Total revenue reached P644.46 million, up 20 percent year-on-year.
The growth in earnings was attributed to increased rental income from commercial centers Centris Station and Centris Walk, as well as business process outsourcing (BPO) offices Cyberpod Centris One, Cyberpod Centris Two, Cyberpod Centris Three and Eton Cyberpod Corinthian. Rental income for the quarter rose by 97 percent year-on-year to P257.96 million.
“The first quarter of 2015 went well for Eton Properties. Our first quarter results provide a good indicator that we are on track toward reaching our targets for 2015,” said Josefino Lucas, Eton deputy chief operating officer.
Eton expects to top this year the 2014 net profit level of P119.86 million.
In a recent media briefing, Lucas said that the leasing takeup of Eton’s commercial and office projects was strong and the company’s BPO office buildings were fully leased out. The company plans to embark on more office and retail projects to serve the growing BPO market.
Eton plans to launch five new projects for 2015: a high-rise residential condominium, three office towers and a boutique mall.
The residential condominium to be launched this year is part of the company’s one-hectare mixed-use development in Makati City dubbed Eton WestEnd Square. Also part of the mixed-use development are a boutique mall and a BPO office building, which will cater to professionals in the outsourcing business.
The company also plans to put up its fifth BPO office building in Eton Centris, to be called Cyberpod Centris Five and its sixth BPO office building in Ortigas Center.
Eton is also set to start the expansion of Centris Walk, an upscale lifestyle, dining and entertainment destination in Eton Centris.