Megaworld income rises to P4.4B with higher residential sales

TAN-led property developer Megaworld Corp. saw an 8% jump in its first-quarter (Q1) attributable net income to P4.4 billion from P4.08 billion last year on higher residential sales as well as mall and hotel revenues.

Consolidated revenues during the January to March period improved by 16% to P18.87 billion from P16.23 billion last year, Megaworld said in a statement to the stock exchange on Thursday.

Megaworld is the property unit of the Tan family’s listed holding company Alliance Global Group, Inc. (AGI).

“We started 2024 by consolidating our strength and forging stability for our core businesses as we look forward to many more opportunities for growth in the coming years,” AGI Chief Executive Officer Kevin L. Tan said.

Real estate sales improved by 29% to P12.1 billion led by strong bookings and unit sales. Leasing revenue also climbed by 6% to P4.6 billion.

Revenue of Megaworld Lifestyle Malls jumped by 20% to P1.5 billion on higher tenant sales and increased occupancy of 93%, while revenue of Megaworld Premier Offices was at the same level at P3.2 billion.

Megaworld Hotels & Resorts revenues surged by 39% to P1.1 billion carried by the growth of meetings, incentives, conventions, exhibitions (MICE) activities and local tourism.

The company attributed the revenue growth to its Boracay Newcoast development, which saw strong bookings of the 1,200-seater Boracay Newcoast Convention Center.

Meanwhile, Mr. Tan said that Megaworld is eyeing to finish 2024 with 35 townships in its portfolio.

“This year, we hope to finish 2024 with 35 townships to coincide with our 35 years in the Philippine real estate industry,” he said.

To date, Megaworld has 31 master-planned integrated urban townships, integrated lifestyle communities, and lifestyle estates across the country.

Some of these include Eastwood City in Libis, Quezon City (18.5 hectares); Newport City in Pasay City (25 hectares); McKinley Hill (50 hectares), McKinley West (34.5 hectares), Uptown Bonifacio (15.4 hectares), and Forbes Town (5 hectares), all in Fort Bonifacio, Taguig City; Lucky Chinatown in Binondo, Manila (3 hectares); The Mactan Newtown in Lapu-Lapu City, Cebu (30 hectares); Twin Lakes in Laurel, Batangas near Tagaytay (1,300 hectares); and ArcoVia City in Pasig City (12.3 hectares).

On Thursday, Megaworld shares fell by 0.57% or one centavo to P1.73 per share. — Revin Mikhael D. Ochave