Century Properties doubles income to P1.4 billion

MANILA, Philippines - Century Properties Group Inc. almost doubled its profits in the nine months to September as the property sector continues to benefit from robust demand.

The listed property firm booked a net income of P1.4 billion in the nine-month period, surging 95 percent from P723 million last year.

Revenues, driven by strong sales performance of its property developments, more than doubled to P7.2 billion from P3.5 billion, Century Properties said.

In the third quarter alone, total revenues and net income hit P2.3 billion and P467 million respectively. Turnover climbed 60 percent while profits jumped 105 percent from a year ago.

“We have been able to capitalize on the real estate sector’s robust and sustained growth,” said Jose Marco Antonio, managing director and chief operating officer of Century Properties.

In the nine-month period, Century Properties recorded P16.3 billion in pre-sales while launching P12.5 billion worth of inventory.

For the third quarter alone, the property firm posted P5.6 billion in pre-sales, of which 19 percent came from the luxury market, 24 percent from the middle income and 58 percent from the affordable markets.

Specifically, the company booked P2.8 billion in sales from the newly-launched, three-tower The Residences at Commonwealth, which cater to the affordable market.

“For the remaining quarter in 2012, we plan to launch an additional P4 billion of inventory, and will likely exceed our full year 2012 pre-sales target of P20 billion,” Antonio said.

Century Properties said that of a total of P6.6 billion of credit facilities, the firm’s outstanding as of end September was P2.8 billion, with the balance remaining undrawn to fund future projects.

The company has so far spent P5.5 billion for its projects this year.

Antonio said the projects for the affordable market allows the company to lessen risks in the property cycle.

“The increase in supply is more than matched by the increase in demand,” Antonio said.

Last week, the property firm launched the Residences at Acqua Iguazu, the firm’s collaboration with the British design brand “yoo inspired by Starck.”

It is the international interior design brand founded by the world-renowned French designer Philippe Starck and the British real estate entrepreneur John Hitchcox.

The P1.7-billion development is the fifth of six buildings to rise within the developer’s 2.4-hectare Mandaluyong City project called Acqua Private Residences.

“We continue to establish international collaborations because the local market has shown its readiness for branded real estate,” Antonio said.

“Given [Starck’s] powerful influence in the field of design, we felt there was a need to rouse our consciousness with his brand of design sensibilities,” said Robbie Antonio, head for International Collaborations of Century Properties.

Meanwhile, Century Properties said it is interested in venturing into tourism projects as it is a sunrise industry in the Philippines.