CLI net income up 41% in first quarter

CEBU, Philippines — Cebu Landmasters Inc. yesterday reported its net income rose 41% in the first quarter, citing its Cebu properties as key driver to its revenue growth.

In a regulatory disclosure to the stock exchange Wednesday, the company said net profit in the first three months hit P702 million, up from P499 million in the same period last year. Net income attributable to parent likewise grew 23% to P599 million.

“We have sustained our growth momentum as we continue to be highly effective in the construction and delivery of our projects. It is our commitment to deliver on-time, high quality products to our customers.” chief executive Jose Soberano III said.

Consolidated revenues also rose 48% to P1.87 billion from P1.264 billion. In terms of location, presence in Cebu remains to be strong representing 58% of the total revenues.

Revenues were mainly driven by its mid-market segment, Garden Series representing 36%, while economic housing brand Casa Mira contributed 31% and Premier Series with 29%.

New expansion areas -- Bacolod, Dumaguete, Cagayan de Oro and Davao -- have also started to boost the firm’s revenue, it said.

The Cebu developer also cited consolidated reservation sales in the first quarter rose to P3.877 billion from P3 billion in the same period last year. It is targeting reservation sales to hit P12.5 billion by year’s end from P9.8 billion last year.

Meanwhile, its leasing revenue also grew 23% as total gross leasable area (GLA) increased to 10,110 square meters from 8,952 square meters after turning over retail spaces in Casa Mira Towers Labangon, Cebu City.

Soberano said a total of 69,770 square meters of GLA are under construction, of which 5,105 square meters will be completed within the year. Furthermore, additional 78,274 square meters will be rolled out to achieve its goal of 200,000 square meters of GLA by 2023.

Soberano said the company is on track to hit its consolidated revenue target of P8.4 billion and net income target of P2.6 billion this year.

As of the first quarter, the company has a total of 58 projects in its portfolio, 27 of which are completed while 31 are ongoing. Another 26 are in the pipeline and will be launched within the year.