Megaworld surpasses pre-pandemic levels as Q1 net income surges to P4.6B
- May 10, 2023
Real estate, leasing, and hotel revenues post strong double-digit growth
Megaworld, the country’s pioneer developer of integrated townships, posted a net income of P4.6-billion in the first quarter of this year to surpass its quarterly performance during the pre-pandemic levels for the very first time. This figure was up 30% from P3.5-billion during the same period last year as all core businesses registered strong topline growth. Consolidated revenues grew by 24% to P16.2-billion. The company’s performance in the first quarter of 2023 marks its full recovery from its pre-pandemic performance. Consolidated revenues and net income are already 9% and 11% higher, respectively, compared to the first quarter of 2019.
Likewise, net income attributable to the parent company’s shareholders stood at P4.1-billion and grew by 33% compared to the same period last year.
“We start the year strong as we continue sustaining the recovery momentum of our businesses and finally grow past our pre-pandemic performance for the first time since the pandemic began in 2020. This affirms our position in the industry and ability to quickly adapt in this new environment and capture opportunities,” says Kevin L. Tan, chief strategy officer, Megaworld.
Real estate sales for the quarter grew by 17% year-on-year to P9.4-billion, driven by the higher completion rate of its projects. Similarly, residential pre-sales surged by 71% to P39.6-billion in 1Q23 and already accounts for 30% of the company’s year-end pre-sales target of P130-billion. The company saw renewed demand in Metro Manila during the quarter especially in its projects in McKinley West and Uptown Bonifacio, Taguig City.
Leasing revenues, on the other hand, grew by 18% to P4.4-billion with the growth led by the performance of the mall segment.
Megaworld Premier Offices posted P3.1-billion in rental income during the period, marking a firm 5% increase from the P3.0-billion last year. This resulted from the growing transactions from both traditional and BPO tenants, as well as emerging businesses.
Megaworld Lifestyle Malls saw revenues jump by 73% in the first quarter, amounting to P1.2-billion. The stellar growth was mainly driven by increased spending and higher rents as the company started to collect full rents beginning January 1, 2023.
Megaworld Hotels & Resorts saw revenues soar by 62% to P813-million in the first quarter of 2023, compared to P503-million in the same period last year. This was largely driven by the continued growth of in-city hotels, MICE activities, as well as the strong growth in Food & Beverage (F&B) revenues.
“As we move forward, we are now focused on sustaining our strong growth and look to close the year with a record performance for Megaworld,” reveals Tan.
To date, Megaworld has 30 master‐planned integrated urban townships, integrated lifestyle communities, and lifestyle estates across the country, namely: 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); Iloilo Business Park in Mandurriao, Iloilo City (72 hectares); Sta. Barbara Heights in Sta. Barbara, Iloilo (173 hectares); Boracay Newcoast in Boracay Island (150 hectares); Twin Lakes in Alfonso, Batangas near Tagaytay (1,300 hectares); ArcoVia City in Pasig City (12.3 hectares); Southwoods City in the boundaries of Biñan, Laguna and Carmona, Cavite (561 hectares); Davao Park District in Lanang, Davao City (11 hectares); Alabang West in Las Piñas City (62 hectares); Eastland Heights in Antipolo, Rizal (640 hectares); Suntrust Ecotown in Tanza, Cavite (350 hectares); Maple Grove in General Trias, Cavite (140 hectares); The Hamptons Caliraya in Lumban‐Cavinti, Laguna (300 hectares); The Upper East (34 hectares) in Bacolod City; Northill Gateway (50 hectares) in the boundaries of Bacolod City and Talisay City in Negros Occidental; Capital Town Pampanga beside the Pampanga Provincial Capitol in the City of San Fernando (35.6‐hectares); Westside City in the Entertainment City in Paranaque City (31 hectares); Empire East Highland City in Cainta, Rizal (24 hectares); Arden Botanical Estate in the boundaries of Trece Martires and Tanza, Cavite (251 hectares); Paragua Coastown in San Vicente, Palawan (462 hectares); Northwin Global City in Marilao and Bocaue, Bulacan (85 hectares); Winford Resort Estate in Manila City (3 hectares); and Sherwood Hills in Trece Martires, Cavite (340 hectares).
Source: Megaworld Corporation