Cebu Landmasters net income up 32% in first half

Listed Visayas and Mindanao property developer Cebu Landmasters Inc. (CLI) reported on Thursday a 32% increase in its first-half consolidated net income as the company reported a higher take-up of new launches.

In an emailed statement, CLI said its consolidated net income grew to P2.1 billion, while its net income attributable to parent expanded by 9% to P1.68 billion from P1.55 billion in the past year.

Consolidated revenues for the period rose 23% to P9.15 billion from P7.36 billion, which CLI attributed to higher construction progress and take-up of new launches as its reservation sales hit record levels.

Rental revenues grew 41% to P50 million, while hotel operations recorded 74% growth. Management fees from CLI Property Management Inc. also increased 26% to P31 million.

"Residential demand continues to heavily outweigh supply in the Visayas and Mindanao regions, especially in the middle-market and economic segments, which comprised the bulk of our launches," CLI chairman and chief executive officer Jose Soberano III said.

"CLI remains at the forefront of the action while maintaining strong financial and operational discipline in order to healthily sustain the company’s growth," he added.

The company launched six projects worth P13.5 billion in the first half of the year, of which it said it had already sold P10 billion.

Among the pipeline projects for the second half are the P1.5-billion Mindara Residences, the P2-billion East Village, and the P1-billion Velmiro Heights in Davao, along with the P650-million Casa Mira, the P1.4-billion Costa Mira Mactan, and the P1.9-billion Consolacion projects in Cebu.

In May, CLI announced a P13-billion spending program for the year, of which it has already spent some P5 billion, with 79% going to residential development, 12% for land acquisitions, and 9% for investment property.

"With the remarkable results we’ve attained in the opening half of 2023, CLI is confidently progressing towards its outlined objectives, including the much-awaited strategic expansion in Luzon," Soberano said.

The company earlier said it was looking at possible sites in Batangas, Bicol, and Camarines Sur, mostly in the south of Luzon.

Shares in CLI closed Thursday at P2.67 apiece, up 2 centavos or 0.75% from Wednesday’s finish of P2.65. — VBL, GMA Integrated News