Megaworld H1 profit rises 11% to P6.69B

Tycoon Andrew Tan-led property developer Megaworld Corp. booked an 11-percent year-on-year increase in first semester net profit to P6.69 billion on the back of higher recurring earnings from its leasing portfolio.

Megaworld’s rental business—which includes leasing of space in office, malls and commercial centers—was the primary contributor to the earnings growth in the first six months.

Rental income expanded by 20 percent year-on-year to P5.83 billion this year.

Residential revenues, on the other hand, were steady at P16.77 billion during the period, the company said in a regulatory filing on Thursday.

“It has been a strong first half for Megaworld as we continue the trajectory of our rental income while maintaining revenues for our residential business. Across businesses, there is an indication that we will continue our double digit growth until the end of the year,” Megaworld senior vice president and treasurer Francis Canuto said in a press statement.

Megaworld breached the one-million square meter mark in total leasable space last year. Office space inventory stood at 851,000 square meters while commercial and retail spaces reached 273,000 square meters. —DORIS DUMLAO-ABADILLA