DM Wenceslao 1st half earnings up 42% to P970 million

MANILA, Philippines — D.M. Wenceslao & Associates Inc. (DMW) reported a 42 percent increase in net income to P969.8 million in the first half on  strong growth of its core leasing business.

DMW chief executive officer Delfin Angelo  Wenceslao said sustained marketing efforts boosted growth.

“Strong execution from our marketing and construction teams is accelerating momentum across our businesses,” he said.

Wenceslao said the company completed its third commercial office building ahead of schedule and within budget.

“The early delivery added over 30,000 square meters of leasable gross floor area which was fully leased out as of the end of 2017,” Wenceslao said.

Revenues reached P1.2 billion with recurring income contribution reaching 80 percent primarily due to the completion of a new office building.

Rentals of land grew five percent to P482.2 million, while rentals of buildings and other revenues related to leasing jumped 70 percent to P351.9 million and P127.9 million, respectively.

Residential unit sales increased six percent to P119.5 million, while construction revenue rose 19 percent to P114.5 million.

During the first half,  the company started construction of 8912 Asean Ave. (formerly known as Aseana Four), an office building due for completion in 2021.

With 68,980 sqm of leasable gross floor area, 8912 Asean Ave. is the company’s largest office project to date.

Meanwhile, construction remains on track for residential condominium project Pixel Residences, which is expected to be completed by 2019.

Moving forward, Wenceslao said the company would continue to ramp up the business—strategically and with a long-term mindset—while also taking decisive action that could produce meaningful returns to shareholders in the years ahead.

“We have a clear set of strategies centered around portfolio expansion through a combination of land and commercial leasing and residential sales growth,” he said.

As of June 30, the company’s total leasable gross floor area increased 52 percent year-on-year to 89,914 sqm.

DMW is an integrated property developer with expertise in land reclamation, construction and real estate development.

The company’s main project is Aseana City, which has a land area of 107.5 hectares along the coastal waters of Manila Bay.

Since 1965, DMW has reclaimed more than 2.4 million sqm of land, leased or developed 245,000 sqm of land and buildings, and completed over 100 construction and infrastructure projects including large, complex government developments throughout the Philippines.