Vista Land 6-mo. net up 11%
Villar family-led Vista Land & Lifescapes Inc. saw an 11-percent year-on-year growth in its first semester net profit to P3.9 billion, which was attributed mainly to strong rental income and stable residential development earnings.
Consolidated revenue for the period rose by 9 percent year-on-year to P15.7 billion. Recurring revenue was up by 64 percent to P2.1 billion, contributed by its network of 14 shopping malls and three office towers.
The leasing business now accounts for 23 percent of VLL’s cash flow and 13 percent of total revenue.
“We are pleased with our first half results, as we remain on track to achieve another record year,” Vista Land chair Manuel Villar Jr. said.
VLL’s real estate revenue rose by 3 percent year-on-year to P12.57 billion in the first six months. The slower growth in real estate revenue was due partly to global economic woes affecting overseas Filipino workers, which historically accounted for 50-60 percent of VLL’s sales, VLL president Manuel Paolo Villar said in a briefing.
For the second quarter, VLL’s net profit rose by 5 percent year-on-year to P1.85 billion, as revenue grew by 50 percent to P7.8 billion.
On the residential business, the Camella brand contributed 86 percent of the total revenue while Vista Residences, Crown Asia and Brittany accounted for 8 percent, 4 percent and 2 percent, respectively.
“I remain confident about the company’s prospects for the rest of the year as we continue to expand our rental spaces, complementing our existing core and stable end-user housing business,” the younger Villar said.
As an indicator of future growth, reservation sales for the first semester grew by 2 percent year-on-year to P29 billion. On the other hand, it launched only P10 billion in new residential inventory in the first half of this year compared to P27 billion in the same period last year.
The VLL president expects to match its full-year reservation sales of P56 billion last year.
Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.