Property developer Cebu Landmasters Inc. (CLI) grew its attributable net profit by 21 percent to P2.01 billion last year as all businesses contributed to a double-digit expansion in revenues.
CLI, a leading developer in the Visayas and Mindanao (VisMin) region, grew revenues in 2019 by 26 percent to P8.5 billion, beating its full-year guidance.
As an indicator of future revenue growth, CLI posted reservations sales of P12.68 billion for the year, 32 percent more than the previous year. This came from a mix of residential and mixed-use projects in six key VisMin centers – Davao, Bacolod, Cagayan de Oro, Bohol, Cebu City and Mandaue.
“We are proud to report our record-setting year in 2019. Our momentum is building up very well, as evidenced not only by our strong financial results, market leadership and diversification, but also by our healthy balance sheet with our asset base more than tripling from P11.5 billion in 2017 to P38.2 billion in 2019,” CLI chair and chief executive officer Jose Soberano III disclosed to the Philippine Stock Exchange on Wednesday.
“We are positioned strongly in Vismin, and the growing need for residential end-user and investment options is still there. While the entire market navigates through unforeseen headwinds in second quarter 2020, CLI is committed to sustain its momentum and more importantly be part of the private-sector efforts to support our front-liners, local government units (LGUs), and affected stakeholders at this time,” he added.
Soberano sees huge housing backlog in most VisMin cities sustaining demand in the long run for CLI residential projects.
Citadines Cebu City began operations in the third quarter of the year, providing a new revenue stream. It is the first of a projected six hotels in various VisMin cities set for completion by 2022.
In 2020, CLI intends to use its current landbank of 1.24 million square meters to roll out more projects in new locations in Iloilo, Bohol, Ormoc and Palawan.
The listed company is also developing a mid-market mixed-use multi-tower condominium project in Mandaue in strategic partnership with AboitizLand, the real estate arm of Aboitiz Equity Ventures.