CEBU LANDMASTERS, Inc. (CLI) saw a 10% increase in its attributable net income to P888 million in the first quarter, driven by the strong performance of its business units.
In a disclosure on Wednesday, the Visayas-Mindanao property developer reported that its consolidated revenues went up by 33% to P4.78 billion from P3.59 billion the previous year.
“Our unwavering commitment to excellence at CLI led to double-digit expansions in sales, hotel operations, leasing, and management fees,” Cebu Landmasters Senior Executive Vice-President and Chief Operating Officer Jose Franco B. Soberano said.
“We believe that our remarkable [first quarter] 2023 financial performance sets the tone for the rest of the year, inspiring confidence in our shareholders while reinforcing our position as the leading developer in Vis-Min and a major contributor to Philippine real estate,” Mr. Soberano added.
Real estate sales during the quarter rose by 33% to P4.71 billion due to the construction of units and revenue recognition. Reservation sales went by 16% to P5.22 billion, the bulk of which was attributed to its economic housing development Casa Mira brand.
Cebu continues to be the main driver for revenues, contributing 41% to the top-line growth for the quarter.
The company’s hotel operations grew by 79% to P29 million, which was mainly driven by improved room rates due to normalizing business and tourism travel in 2023.
Its leasing business reported an increase of 22% to P21 million and its property management arm, Cebu Landmasters Property Management, posted a 27% increase in management fees to P15 million due to managing 24 projects.
Meanwhile, the company is planning to introduce its affordable housing development in south Luzon as it seeks to expand beyond the Visayas and Mindanao areas.
“With what [the company] has learned in Vis-Min, we are very much ready to take on Luzon. We really want to bring out affordable products first starting with our housing offerings,” Mr. Soberano said.
Mr. Soberano said that the company is looking at areas in the Bicol Region for its expansion.
“We are looking at places like Camarines Sur [and] Naga City [in] Bicol, and then we are going to look at Batangas and Lipa City. We are looking at places closer to where we are,” he added.
At the stock exchange, CLI shares closed 2.45% higher on Wednesday to P2.51 apiece. — Adrian H. Halili
