Gotianun-led Filinvest Land Inc. saw a 7-percent year-on-year growth in first quarter net profit to P1.41 billion on higher earnings from its residential development and office property businesses.
Total revenues expanded by 26 percent year-on-year to P5.9 billion in the first quarter, FLI said in a regulatory filing.
“We are confident of FLI’s continued growth in 2017 as we launch new residential projects that cater to our core market and complete our planned office and retail developments,” FLI president Josephine Gotianun Yap said in a press statement on Monday.
FLI registered residential revenues of P4.69 billion, 31 percent higher year-on-year. This was driven by sustained sales take-up levels as well as the completion of high-rise and mid-rise residential buildings.
The property developer reported strong demand across its residential product offerings: its Futura Homes affordable housing projects, medium-rise buildings that carry the “Oasis” and “Spatial” brands, and its “Studio” series of high-rise buildings.
Meanwhile, rental revenues grew by 24 percent to P962 million on increased revenues from office buildings.
In the last quarter of 2016, the company completed two new buildings, “Filinvest Cyberzone Bay City 1 & 2” in the Bay area, with 37,000 square meters of gross leasable area (GLA). Both buildings are fully leased out.
FLI now operates 21 office buildings with 312,000 square meters of GLA.
Three buildings are expected to be completed and turned over in 2017: Vector Three and Axis One in Northgate Cyberzone Alabang, and Cebu Cyberzone Tower Two in Lahug, Cebu City. Total office GLA will increase by 103,000 square meters or 33 percent by the end of the year.
FLI is also growing its retail rental space portfolio. “Main Square Community Mall” in Molino, Cavite recently opened its doors to shoppers, adding 28,000 square meters to FLI’s retail portfolio. Another new mall, the “Fora Mall” in Tagaytay, which will have 48,000 square meters of mall space, is scheduled to open in the second quarter. Festival Mall expansion in Alabang and Il Corso Mall in City di Mare, South Road Properties, Cebu are also expected to be fully operational within the year.
The company is seen on track to hit its target of one million square meters of office and retail GLA by 2019.
On the residential side, FLI continues to launch projects that address the needs of the affordable and middle income markets.
FLI is set to invest an additional P5 billion in the next three years in Mindanao as it expands its Futura Homes economic housing and Spatial medium-rise building (MRB) affordable condominium portfolios with new projects in South Cotabato and Davao City. It will also launch residential projects in Metro Manila, Cavite, Rizal, Laguna, Bulacan, Bacolod, Iloilo and other key locations in 2017. To date, FLI has developed more than 2,500 hectares of land and sold more than 160,000 housing units.