GLOBAL-ESTATE Resorts, Inc. (GERI) said its nine-month net income grew slightly on the back of higher real estate sales as well as improved hotel and leasing operations.
In a regulatory filing on Wednesday, GERI said its net income for January to September hit P1.47 billion, up 1.6% from P1.45 billion a year ago.
“Net income remained at P1.5 billion considering more vertical projects were sold this year compared to mostly horizontal projects last year,” GERI said.
GERI, a subsidiary of Tan-led Megaworld Corp., said its consolidated revenues rose 23% to P6 billion from P4.8 billion, led by its real estate business.
The company’s real estate sales rose 22% to P4.7 billion from P3.9 billion carried by bookings from its various projects in Boracay Newcoast, Southwoods City in Laguna, and Twin Lakes in Laurel, Batangas.
Reservation sales also increased by 15% to P15.6 billion as of September.
“Projects in Boracay Newcoast, Eastland Heights in Antipolo, Rizal, and Twin Lakes contributed 79% of GERI’s total reservation sales,” the company said.
GERI’s hotel operations rose 73% to P441 million from P255 million due to higher occupancy and revenue per available room following the continued rise in local tourism and meetings, incentives, conferences and exhibitions (MICE) activities.
The company’s hotel operations consist of hospitality properties in Boracay and Tagaytay.
Meanwhile, GERI said leasing revenues from its office and mall properties rose 29% to P409 million from P317 million a year ago led by retail spaces.
“The contribution of retail spaces continues to be the key driver of growth, as commercial rental income accounts for majority of the total leasing revenues for the period,” GERI said.
“This was driven by improving tenant sales brought about by the increase in foot traffic in the company’s commercial developments, particularly in Southwoods City, Twin Lakes, and Alabang West,” it added.
Currently, GERI has nine tourism and integrated lifestyle communities across the country spanning over 3,300 hectares of land. These communities include Twin Lakes in Laurel, Batangas; Southwoods City in Biñan, Laguna and Carmona, Cavite; Alabang West in Las Piñas City; Boracay Newcoast in Boracay Island, Aklan; Sta. Barbara Heights in Sta. Barbara, Iloilo; and Eastland Heights in Antipolo, Rizal.
The other GERI communities are The Hamptons Caliraya in Lumban-Cavinti, Laguna; Arden Botanical Estate at the boundary of Trece Martires and Tanza in Cavite; and Sherwood Hills in Trece Martires, Cavite.
“We will continue to deliver projects that provide the best value to all our investors, and of course, projects that further help boost our country’s tourism industry,” GERI President Monica T. Salomon said.
On Wednesday, shares of GERI at the local bourse closed unchanged at 76 centavos apiece. — Revin Mikhael D. Ochave