SM Prime builds up profit to P10.5 billion

MANILA, Philippines — Sy-led integrated property developer SM Prime Holdings Inc. booked higher profit in the first quarter on the back of robust revenues, particularly from its malls.

SM Prime’s net income jumped by 11 percent to P10.5 billion in the first three months from P9.4 billion in the same period in 2023.

The company attributed its higher bottomline in the first quarter to strong revenues of P30.7 billion, up seven percent year-on-year.

SM Prime’s mall business accounted for 59 percent of the consolidated revenues during the period, while its primary residential business group contributed 28 percent.

Revenues of the mall segment grew by seven percent year-on-year to P18.2 billion, with mall rental income growing to P15.8 billion.

The primary residential business group, on the other hand, reported a 10-percent year-on-year increase in revenues to P8.5 billion.

Reservation sales stood at P26.5 billion in the first quarter.

Meanwhile, SM Prime’s other business segments composed of offices, hotels and convention centers registered a nine percent growth in revenues at P3.4 billion.

SM Prime said it remains committed to its role as a catalyst for economic growth, delivering innovative and sustainable lifestyle cities that enrich the quality of life of millions of people.

“We are encouraged with the performance of all our businesses this first quarter of 2024,” SM Prime president Jeffrey Lim said.

“We are particularly bullish with our malls business as we plan to open a new mall this month of May, and another three within the year,” he said.

SM Prime plans to open four new malls in the country this year that will add more than 440,000 sqm of gross floor area in the company’s mall portfolio.

For the residential business, Lim said SM Prime’s focus remains in addressing housing backlog within the socialized and economic segments.