DoubleDragon pulls in P144-M profit

Property developer DoubleDragon Properties Corp. marked a 16-percent year-on-year rise in six-month net profit to P144 million on higher rental revenues and improved margins in real estate sales.

The company’s total revenues also increased by 15 percent for the first semester to P706 million, the company disclosed to the Philippine Stock Exchange on Monday.

Bulk of revenues came from residential development projects W.H. Taft Residences and The SkySuites Tower, both of which contributed to a 7-percent year-on-year growth in real estate sales.

DoubleDragon also reported an improvement in gross margins at 51 percent in the first semester versus 45 percent in the same period last year.

Rental revenues surged by 649 percent for the first half compared to the same period last year with the completion of more community shopping malls under the “CityMalls” brand. The company currently has eight in operation.

As more CityMalls are set to open this year, DoubleDragon expects to see sustained momentum in the growth in rental revenues. Also contributing substantially to rental revenues is Dragon8 Mall in Divisoria.

The company’s assets rose by 41 percent year-on-year during the first half to P39.03 billion primarily due to the issuance last April of P10-billion preferred shares.

DoubleDragon also recently struck a deal to buy a 70 percent stake in Hotel of Asia Inc. (HOA) to serve as its hospitality arm. HOA is the developer of the condotel brand Hotel 101 and the holder of the local franchise of Jinjiang Inn.