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Showing posts with label shopping mall. Show all posts
Showing posts with label shopping mall. Show all posts

Sunday, March 10, 2013

Stock News 2013: SM Investments reports 2012 net income of P24.7 B

SM Investments Corporation
SM Investments Corporation (Photo credit: Wikipedia)

Henry Sy’s SM Investments Corp. boosted its net profit last year by 16.3 percent to P24.7 billion on a double-digit rise in earnings across its banking, retailing, shopping mall and residential development businesses.

Revenues increased by 12 percent to P223.9 billion while cash flow as measured by earnings before interest, taxes, depreciation and amortization (Ebitda) went up by 24.2 percent to P54.9 billion, for an Ebitda margin of 24.5 percent, SMIC disclosed to the Philippine Stock Exchange on Wednesday.

This resulted in a return on equity of 14.3 percent for SMIC, the country’s most valuable conglomerate.

“SM’s strong full-year results were anchored not only on very favorable economic conditions, but also on the ability of our businesses to efficiently and effectively address the needs of our customers, who have grown increasingly more discerning,” SMIC president Harley Sy said in a press statement.

“Our performance during the year is testament to the hard work, focus, and dedication of the whole SM organization. With the positive economic outlook for 2013, we are confident of sustaining SM’s expansion and growth moving forward,” Sy said.

Banks accounted for the largest share of SM’s consolidated net income, contributing 34.4 percent of total. Retail operations accounted for 28.1 percent, followed by mall operations with 22.9 percent and property development, with 14.6 percent.

The group’s high-volume retailing business under SM Retail reported a net income of P6.6 billion last year, up by 12.5 percent.  Net margin stood at 4.1 percent.

Retail sales rose by 7.6 percent to P159.5 billion, while Ebitda grew by 13.5 percent to P11.8 billion, for an Ebitda margin of 7.4 percent.

SM Retail expanded last year by a total of 34 stores, consisting of five department stores, four SM Supermarkets, seven SM Hypermarkets and 18 SaveMore stores. At the end of the year, SM Retail had a total of 202 stores, consisting of 46 department stores, 37 SM Supermarkets, 37 SM Hypermarkets, and 82 SaveMore stores.

http://business.inquirer.net/110939/sm-investments-reports-2012-net-income-of-p24-7-b

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Thursday, August 23, 2012

Stock News 2012: Robinsons shifts focus to commercial projects

English: Newly opened Robinsons Place Mall, Ta...English: Newly opened Robinsons Place Mall, Tacloban City, Philippines (Opened 2009-06-11) (Photo credit: Wikipedia)
After slowing down on residential construction, Gokongwei-led property firm Robinsons Land Corp. is recalibrating its growth strategy and beefing up its landbank to build a strong pipeline of work in the commercial segment.

“We’re more aggressive now. We’re embarking on landbanking to ensure sufficient land capacity for development,” said Frederick D. Go, president of RLC.

Go said the company remains in talks with Japanese billionaire Kazuo Okada for the latter’s $2-billion casino project in the Philippine Amusement & Gaming Corp.’s Entertainment City along Roxas Blvd. RLC is considering running the retail and hotel operations for Okada’s project.

In April, RLC said it was inherently cautious about the short-term outlook for the residential real estate market and would rather focus on expanding its shopping mall, office building and hotel operations, which account for more than 65 percent of the group’s total revenues.

RLC is building seven new shopping malls and expanding three of its existing malls to capitalize on strong consumer spending and a growing business process outsourcing industry. Of the seven, three will be built this year while the other four will rise in 2013.

The expansion of the retail portfolio will increase the group’s total mall leasable area to a little over a million square meters (sqm) in two years.

RLC recently completed two mall expansion projects in Tacloban and Bacolod.

Together with the two expansion projects, RLC’s total gross leasable area (GLA) is seen to reach 911,000 sqm at end-September this year. In 2013, RLC will add another 100,000 sqm to bring the total GLA to 1.01 million sqm.

For the office segment, RLC is completing Cyberscape Alpha and Cyberspace Beta in Ortigas by mid-2013.

As for its Go Hotel chain, the company is looking to build four this year in line with plans to hit a 30-branch network over the next five years.

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=840420

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Monday, July 30, 2012

Stock News 2012: SM Prime posts P2.5-B net earnings in Q2

SM City Cagayan de OroSM City Cagayan de Oro (Photo credit: Wikipedia)
Shopping mall giant SM Prime Holdings Inc. reported better-than-expected financial results in the second quarter with net earnings rising 16 percent to P2.49 billion.

This brings SM Prime’s six-month net income to P4.92 billion or 15 percent higher than the P4.27 billion recorded the previous period.

Revenues also climbed 15 percent to P14.57 billion while EBITDA (earnings before interest, taxes, depreciation and amortization) went up 12 percent to P9.71 billion

Operating income likewise increased 15 percent to P7.78 billion. The growth was attributed to the eight-percent rise in same-store sales, new store openings, and the improved performance of the group’s malls in China.

SM Prime’s four malls in China are located in the cities of Xiamen, Jinjiang, Chengdu and Suzhou with a total gross floor area of 0.6 million square meters. These contributed P320 million or seven percent of the company’s aggregate earnings.

In terms of gross revenues, these four malls pumped in P1.27 billion, accounting for nine percent of total.

The SM China malls are enjoying healthy increases in rental rates and improvement in occupancy levels. The average occupancy rate for the four malls in China is now at 95 percent.

“We are pleased to reach our targets for the first half of this year on the back of robust consumer spending and strong economic fundamentals. In line with this, we look forward to the second half of the year with more confidence in implementing our expansion plans, especially as we move towards the holiday season,” said SM Prime president Hans T. Sy.

Operating expenses likewise expanded 15 percent to P6.79 billion owing to higher administrative expenses particularly utilities, business taxes and manpower expenses.

SM Prime has 44 supermalls strategically located across the country with a total gross floor area of 5.3 million square meters.

Earlier this year, it opened SM City Olongapo in Zambales, SM City Consolacion in Cebu and SM City San Fernando in Pampanga. Three more malls are expected to open for the balance of the year -- SM City Gen. Santos in South Cotabato, SM City Lanang in Davao City and SM Chongqing in China.

By the end of the year, SM Prime will have 46 malls in the Philippines and five in China with an estimated combined gross floor area of 6.3 million square meters.

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=832927

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Saturday, April 21, 2012

Stock News 2012: Robinsons Land to expand retail portfolio

Robinsons Place Dumaguete in Dumaguete City, N...Robinsons Place Dumaguete in Dumaguete City, Negros Oriental, Philippines (Photo credit: Wikipedia)
Gokongwei-led Robinsons Land Corp.(RLC) is scaling up its retail portfolio in the next two years to boost its total mall leasable area to a little over one million square meters.

RLC president Frederick D. Go told reporters after the company’s annual stockholders meeting late Wednesday that they are building seven new shopping malls and expanding three of 29 existing malls in 2012-2013 to take advantage of the expected strong consumer spending and a booming business process outsourcing (BPO) industry.

Go said three new malls will be built this year while another four in 2013.

In March, RLC opened its first full-service mall in Calasiao, Pangasinan. The company is slated to open Robinsons Place Palawan in May and Robinsons Magnolia in July.

 RLC recently completed two mall expansion projects in Tacloban and Bacolod.

Together with the two expansion projects, RLC’s total gross leasable area will reach 911,000 square meters at end-September this year. In 2013, RLC will add another 100,000 sqm to bring the total GLA to 1.01 million sqm.

In the office sector, RLC expects to complete Cyberscape Alpha and Cyberspace Beta in mid-2013 which will increase total net leasable area to 274,000 sqm from 194,000 sqm this year.

Go said the company is scouting for more land to purchase to expand their office building portfolio.

RLC has set aside P13 billion for capital expenditures this year, majority of which will go to new mall openings, office buildings and hotels.

Aside from this, it is planning to open two more Go Hotels this year, in Tacloban and Bacolod. It already opened in Palawan and Dumaguete in the first quarter of the year.

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=798682

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Thursday, March 29, 2012

Stock News 2012: Anchor Land allots P4.5 billion for projects, land banking

CondominiumsCondominiums (Photo credit: mjb84)

In a briefing, Anchor Land chief finance officer Neil Y. Chua said funding for this year’s projects will come from a mix of bank loans and internally-generated cash.

Anchor Land president Elizabeth Ventura said the company intends to further strengthen its position in the industry by continuing to create new markets, expanding its current bestsellers, and boosting its portfolio of commercial projects that should provide more recurring income in the near to medium term.

The new projects include Oxford Parksuites, Clairemont Hills, Admiral Baysuites II, SoleMare Parksuites Phase III, One Executive Suites and One Soler.

Aiming to duplicate the success of Wharton ParkSuites in Chinatown’s “university belt”, the company is building another residential condominium to be called Oxford Parksuites, targeting those who send their children to prestigious Chinese learning institutions in the area.

Ventura said the company is pursuing a low-density development in San Juan City, dubbed Clairemont Hills which will feature clusters of three-story townhomes and a medium-rise condominium at the center.

Anchor Land likewise acquired a prime property near its Admiral Hotel redevelopment project along Roxas Blvd. The company intends to put up a premium commercial office building that will be fully leased out to businessmen and investors.

Capitalizing on the robust take-up of its most successful project by far, the company will implement Phase 3 of SoleMare Parksuites, offering bigger and better amenities. The entire project, consisting of four medium-rise condominium towers, is located within Pagcor’s Entertainment City, which is seen to be Asia’s next Las Vegas.

One Executive Suites will serve as the residential component of Two Shopping Center in Pasay City, Anchor Land’s successful foray into the commercial development segment. It will cater exclusively to traders and wholesalers in the Baclaran bargain shopping district.

Another commercial development in the pipeline is the 18-story One Soler, which is located in Divisoria, one of the country’s oldest commercial and trading centers.

Anchor Land reported a 49 percent jump in net profit last year P842 million, marking the fifth year of consecutive income and revenue growth since its listing in 2007.

Revenues reached over P3 billion while earnings per share amounted to P2.41, up 48 percent from the year-ago level.

Chua said he expects the firm’s net income to increase further this year to hit P1 billion on the back of new project launches.

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=798682

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Monday, January 9, 2012

Stock News 2012: Robinsons Land retains high rating

Robinsons Galleria, Robinsons' Flagship Mall.Robinsons Galleria, Robinsons' Flagship Mall. (Photo credit: Wikipedia)
Robinsons Land Corp. retained its highest rating of PRS Aaa from local credit rating agency PhilRatings for its outstanding P10 billion bonds maturing in 2014.

Obligations rated PRS Aaa are of the highest quality with minimal credit risk. The obligor’s capacity to meet its financial commitment on the obligations is extremely strong.

RLC, the property arm of Gokongwei listed flagship firm JG Summit Holdings Inc., is engaged in the development and operation of shopping malls and hotels, and the development of mixed-use properties, office and residential buildings, as well as land and residential housing projects located in key cities and urban areas nationwide.

“Considering current market developments and conditions both globally and locally, RLC is now investing more in malls, office buildings and hotels, while taking a more conservative stance in relation to the development of residential real estate projects. This move signifies that RLC is expected to have a more stable and strong recurring rental and lease revenue base from investment properties while at the same time, pursuing opportunities through its residential development businesses,” PhilRatings said.

Sustained robust OFW remittances, the increase in consumer spending, as well as an expanding BPO business are expected to boost demand for residential space going forward and will continue to support growth in the commercial centers business, PhilRatings said.

http://www.philstar.com/Article.aspx?articleId=766072&publicationSubCategoryId=66

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Tuesday, February 1, 2011

Stock News 2011: Anchor Land builds 7 property projects

Plaza Lorenzo Ruiz in Binondo, Manila, with th...Image via Wikipedia
Anchor Land Holdings, Inc. said it is taking full advantage of the bullish real estate market with seven simultaneous projects this year, underscoring the company’s status as one of the country’s emerging developers today.

The projects range from commercial developments to luxury residential suites and the expansion of its best-selling mid-rise condominium project at the ASEANA Business Park in ParaƱaque City.

“This is our vote of confidence in the Philippine economy in general and the property sector in particular,” said ALHI chairman Stephen Lee Keng. “It is also our way of living up to our motto of 100 percent commitment to deliver all projects on time, without sacrificing the quality and beauty of our projects.”

Lee said construction works are in full swing in four of the projects: The SoleMareParksuites Phase I near Macapagal Boulevard at the ASEANA Business Park, Two Shopping Center along Cuneta Avenue in Pasay City, the Anchor Skysuites along Ongpin Street in Binondo, and the Wharton Parksuites along Masangkay Street, also in Binondo.

SoleMareParksuites and Two Shopping Center are being developed by ALHI subsidiary Posh Properties Development Corp. (PPDC) while Anchor Skysuites is being undertaken by Gotamco Realty Investment Corporation (GRIC). Wharton Parksuites is a project of another subsidiary, Manila Towers Development Corp. (MTDC).

http://www.mb.com.ph/articles/301801/anchor-land-builds-7-property-projects


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Monday, September 27, 2010

Stock News 2010: SM Prime allots P24 billion for 4 new malls in China

SM City Cagayan de OroImage via Wikipedia
Xiamen — SM Prime Holdings Corp. is ratcheting up its expansion across China with around RMB 3.58 billion (roughly P24 billion) allotted for the construction of four new malls slated for opening between 2010 and 2013.

Diane R. Dionisio, vice-president for finance of SM Prime’s China projects, said the group is stepping up its presence in the world’s second largest economy with plans to build its biggest shopping mall ever in Tianjin, the sixth largest city of the People’s Republic of China.

Dionisio said the SM Tianjin will rise on a 43-hectare property that would have approximately 530,000 square meters of gross floor area, about 30 percent bigger than its Mall of Asia on Roxas Boulevard. Targeted for opening in 2013, SM Tianjin will be built at a cost of RMB 2 billion (P13.4 billion), the highest investment ever to be made by the group.

The 70,000 square meter SM Suzhou with a development cost of RMB 450 million, is scheduled to open in December this year to be followed by SM Chongqing in the fourth quarter of 2011, SM Tianjin and SM Zibo in central Shandong province, both in 2013.

SM Prime has earmarked RMB 500 million for the construction of the Chongqing outlet which will have a gross floor area of 150,000. Around RMB 630 million has been set aside for SM Zibo with an estimated gross floor area of 170,000 square meters.

When completed, these malls would bring SM Prime’s total store network in China to eight. SM Prime entered China in 2007 after buying billionaire Henry Sy’s malls in Xiamen, Jinjiang and Chengdu for $252 million.


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Monday, August 2, 2010

Stock News 2010: Cityland unveils new condo project in Mandaluyong

Shaw Boulevard (looking west), Mandaluyong Cit...Image via WikipediaMANILA, Philippines - Listed property developer Cityland Development Corp. has launched a 40-storey residential condominium in Mandaluyong City called Grand Central Residences.
The development will be located right in the middle of shopping malls Shangri-La Plaza, SM Megamall, Edsa Central and Star Mall.
It will offer studio, one-, two- and three-bedroom units at an easy payment scheme of up to 10 years on a first come-first served basis. Discounts are also offered over a limited period to the first few buyers.
The condominium will feature amenities like a multi-purpose function room, swimming pool, gym, closed circuit television system, multi-purpose deck and others.
Cityland shares last traded at P1.60 apiece on July 27.
http://www.abs-cbnnews.com/business/08/02/10/cityland-unveils-new-condo-project-mandaluyong
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Friday, February 26, 2010

Stock News 2010: Robinsons Land a driving force in Cebu

Capitol building of the Province of Cebu, loca...Image via WikipediaMANILA, Philippines The strong domestic retail market continues to paved the way for more property developments and expansion not only in major urban centers like Metro Manila but throughout the country. The expansion is being followed rapidly by BPO and call center companies as they moved to the Next Wave Cities.
Cebu has taken advantage of these developments and has landed itself as the premier destination for BPO and call center companies because of the presence of the correct mix of critical infrastructure, ample and appropriate human resources and lower cost. Cebu was selected as one of the highest-ranking BPO destinations in Asia due to high literacy and labor pool, fiscal incentives and competitiveness.
Robinsons Cybergate Cebu, Robinsons Land Corporation’s latest Cebu project that integrates BPO office spaces in its newest shopping and lifestyle mall development has reinforce the company stature as a driving force in the industry and the main developer of BPO sites that offers a total live-work-play environment.
For inquiries on Robinsons Cybergate Cebu office space leasing, call (02) 395-2177; (032) 255-5590 or email at office.buildings@-robinsonsland.com
http://www.robinsonsoffices.com/news.html
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Thursday, February 11, 2010

Stock News 2010: RLC rolling out 11 new residential projects

Ortigas CenterImage via WikipediaMANILA, Philippines - Robinsons Land Corp. (RLC), the property development arm of Gokongwei holding firm JG Summit Holdings Inc., is rolling out 11 new residential projects to fill in the strong demand for low-to middle-income housing.
In a filing with securities regulators, RLC said it is awaiting the issuance of a license to sell a total of 5,008 housing units covering 11 new projects.
These projects are Monte Del Sol, Costa Verde, Forest Parkhomes North, Hanalei Heights , Brighton Parkplace North, Montclair Highlands , Sitio Andalucia, St. Bernice Estates, Nizanta Gardens , Vimana Verde Residences and Grand Tierra.
RLC said it plans to develop at least three new housing projects a year. To further expand its landbank and geographic base, the company is in various stages of negotiations for the acquisition of approximately 203 hectares in key regional cities throughout the country.
For its residential buildings division, RLC said it plans to build at least three new projects annually. As of end-September 2009, RLC had a portfolio of 29 residential condominium projects located in Metro Manila and Cebu, of which 16 had been completed and 13 projects under various stages of development.
“The company’s business plan for its residential buildings division is to develop new projects in response to actual and anticipated market demand.
The company believes that the potential for growth is in the affordable to middle-cost high-rise condominium developments and in the middle-cost to high-end horizontal residential segments of the market,” RLC said.
For its commercial center division, RLC had 10 new shopping malls in the planning and development stage for completion in the next two to three years to sustain its growth momentum.
For its fiscal year ending September 2009, RLC had opened five malls: Pulilan, Bulacan; Tagaytay; Davao; Tacloban and Gen. Santos City and a redeveloped mall in Tarlac City. It currently operates 26 shopping malls, comprising six malls in Metro Manila and 20 malls in other urban areas throughout the Philippines, with a gross floor area of approximately 1.43 million square meters.
The commercial centers division’s main revenue stream is derived from the lease of commercial spaces. Historically, revenues from lease rentals have been a steady source of operating cash flow for the company.
RLC expects that the revenues and operating cash flow generated by the commercial centers business shall continue to be the driver for the company’s growth in the future.
Zinnia B. Dela PeƱa
February 11, 2010
http://208.184.76.175/Article.aspx?articleid=548410
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Friday, January 15, 2010

Stock News 2010: PEZA-backed Robinsons Cybergate Cebu opens

Skyline of Cebu CityImage via WikipediaMANILA, Philippines - Cebu City, ranked by Tholons International as the number one city among the world’s Top 50 Emerging Global Outsourcing Cities, is the host of Robinsons Land Corporation’s latest mixed-use project, Robinsons Cybergate Cebu.
While Cebu is also considered premier tourist destination, it is the second most popular destination of business process outsourcing (BPO) companies, next to Metro Manila, since it provides the infrastructure, amenities and the balanced lifestyle that draws BPO companies to set shop.
Opened last Dec. 9, 2009, Robinsons Cybergate Cebu is a seven-story mixed-use development with dining options, a medical and wellness component designed to supplement the services offered by the adjacent Chong Hua Hospital and other medical facilities and three floors for office. The new medical-commercial development sits on a 5,000-square meter lot and will have a gross leasable area of 12,500 square meters. It will have a total of 55 shops and restaurants as well as 35 wellness clinics.
The PEZA-accredited project located along J. Llorente St. corner Don Gil Garcia St. and facing Fuente Osmena Circle will be offering a complete work, relax, distress environment. The building is also equipped with full back-up power generators and utilizes the flexible VRF/VRV air-conditioning system perfect for companies who are conscious about work hours flexibility and cost savings.
Given its location at the heart of Metro Cebu, Robinsons Cybergate Cebu has unmatched accessibility and within the vicinity of Cebu’s major universities and colleges that provide an annual college graduating pool of 20,000 allowing ease in recruitment and potential employment.
http://www.robinsonsoffices.com/news.html
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Thursday, January 14, 2010

Stock News 2010: RLC profit up to P3.3B

Berjaya Times Square Shopping Mall, Hotel, & S...Image via WikipediaMANILA, Philippines – The Gokongweis’ Robinsons Land Corp. posted a four-percent year-on-year profit growth in fiscal year 2009 that ended September, on higher revenue from its shopping mall and office property portfolio.
Net profit hit P3.27 billion on the back of a P10.73-billion revenue. Excluding extraordinary items, RLC’s core net income grew by 10 percent, the firm said in a statement.
“RLC’s various business units managed to perform well because of our deep understanding of the market, commitment to operational efficiencies and a healthy balance sheet,” said Frederick Go, RLC president and chief operating officer.
The commercial centers division accounted for P4.21 billion or 39 percent of the real estate revenue for the year, up 14 percent from year-ago level.
Enterprise-wide average occupancy rate for the malls was steady at 93 percent.
From October to December last year, RLC opened four new malls: Robinsons Place General Santos, Robinsons Place Dumaguete, Robinsons Ilocos Norte and Robinsons Cybergate Cebu.
RLC is the second largest shopping mall developer in the country with 29 malls nationwide. The office buildings division, a leading provider of space to BPOs, reported gross revenue of P1.1 billion, or 26 percent higher than year-ago level. Accounting for 10 percent of total revenue, the office division’s operating profit grew by 20 percent to P738 million. It enjoys a stable recurring lease from its six office buildings: Robinsons Cybergate Towers 1, 2, 3, Robinsons Summit Center, Robinsons Equitable Tower, and Galleria Corporate Center.
RLC’s hotels division posted P1.04 billion in revenue, down from last year’s P1.14 billion due to the global travel slowdown. Its net income before tax reached P130.49 million.
Doris C. Dumlao
January 14, 2010
http://www.robinsonsoffices.com/news.html
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Sunday, April 19, 2009

Stock News 2009: Gokongwei firm to open Tagaytay hotel

Taal Volcano in the Philippines. (2007)Image via WikipediaMANILA, Philippines--The Gokongweis’ Robinsons Land Corp. is set to open next month a 108-room hotel called “Summit Ridge” in Tagaytay City, the fourth member of its hotel portfolio.
The property developer has also firmed up plans to launch by next year a budget hotel chain called “Go Hotel,” which seeks to capitalize on the synergies with affiliate budget carrier Cebu Pacific Air, RLC president Frederick Go told reporters.
“The one in Tagaytay, I think it will be a successful hotel. It has the most commanding ridge view of Taal Volcano and climate is the best,” Go said.
The pilot site for the Go Hotel chain, on the other hand, is in Pioneer Street, Mandaluyong City. It will occupy two floors of the Robinsons Cybergate Plaza and offer 229 rooms to budget-conscious travelers.
“It’s a budget hotel chain which we think will do well especially because we can have an alliance with Cebu Pacific which is the largest budget airline. There is similarity between the markets they serve,” Go said.
In its fiscal year ending September 2008, the hotels division accounted for P1.14 billion or about 10 percent of total revenues. The group’s revenues last year went up 3 percent from a year ago.
The three other existing hotels in RLC’s portfolio are the 285-room Holiday Inn in Pasig City, 263-room Crowne Plaza in Quezon City and 210-room Cebu Midtown Hotel. These hotels reported a respective occupancy rate of 76 percent, 70 percent and 52 percent in 2008.
Doris Dumlao
April 19, 2009
http://www.robinsonsoffices.com/apr-jun2009.html
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Tuesday, March 10, 2009

Stock News 2009: Robinsons earmarks P8 billion for expansion

The inside view of a Shopping MallImage via WikipediaMANILA, Philippines - Robinsons Land Corp. (RLC), the real estate development arm of Gokongwei flagship firm JG Summit Holdings Inc., is setting aside around P8 billion this year to bankroll the construction of new shopping malls, office buildings, residential units and a chain of budget hotels.
RLC president and chief operating officer Frederick Go said the company intends to open five new malls this year which will make available an additional 71,000 square meters of gross leasable space.
At the start of its fiscal year ending September 2009, RLC had completed and opened Robinsons-Pulilan and Tagaytay as well as the first phase of the redevelopment of its Luisita mall.
Other malls targeted for opening this year are in Davao, Tacloban and Gen. Santos.
RLC’s shopping mall network will increase to 26 by the end of September this year from 21 the previous year.
“The company’s business plan for the commercial centers division over the next five years, subject to market conditions, is to sustain its growth momentum via development of new shopping malls and expansion of existing ones,” Go said.
Aside from this, RLC will continue to take advantage of the resilient demand for office space by allotting leasable area for BPOs (business process outsourcing) as needed in its malls. It started construction of Robinsons Cybergate Plaza, which will have 20,000 square meters of net leasable office area.
“While demand is still strong, we expect rental rates to be under pressure this year with the increase in office space supply. However, we are confident that our office buildings will maintain high occupancy because of their better locations, geographic spread, and the fact that they are anchored in our mixed-use developments,” Go said.
RLC is completing the 108-room Summit Ridge Hotel Complex in Tagaytay, which is slated to open this June.
To cater to a wider section of potential clients, RLC launched a new concept in the hospitality business with its budget Go Hotels, offering affordable and value-for money accomodation. These hotels will rise in RLC’s malls and 24-hour convenience stores.
The first site of the Go Hotel is in Robinsons Pioneer Cybergate complex, which is expected to be completed in the next fiscal year.
As for its housing projects, RLC has a pipeline of over 30 residential buildings planned for the mid term, five of which will be launched this year. Among these include the second residential tower of Sonata Private Residences, the second tower of additional buildings in Woodsville, and the first tower of the recently-acquired Magnolia property.
Go said the company aims to launch three new housing projects annually.
“Our business model remains the same-searching for joint venture partners in provincial areas that will allow us to expand into new localities with less upfront capital tied up to land acquisition. The lower price points of our products in this division should give us more traction in a property downturn,” Go said.
At the same time, RLC said it remains to be on the look out for opportunities to pick up good value assets that might become available in the midst of these challenging times.
Zinnia B. Dela PeƱa
March 10, 2009
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Saturday, January 24, 2009

Stock News 2009: Robinsons Land earnings jump 29% to P3.15 billion

Assorted international currency notes.Image via WikipediaRobinsons Land Corp. (RLC), the property arm of Gokongwei investment holding firm JG Summit Holdings Inc., said its net earnings rose 29 percent in its fiscal year ending September 2008 to P3.15 billion on the back of solid growth in operating lease revenues and sales.
In a financial report filed with securities regulators, RLC said consolidated revenues grew 26 percent to P11.18 billion from only P8.89 billion as sales from lease operations improved 35 percent.
RLC president and chief operating officer Frederick Go said the financial results were better than expected amid tough challenges in the real estate industry.
He said the company will continue to pursue projects in industry segments that have promising potentials to further boost its cash flow.
“We will continue to produce projects that cater to the demands of the consumer market. Our solid balance sheet and stable recurring income will allow us to pursue more projects in the coming year,” Go said.
RLC’s commercial centers division contributed P3.7 billion or 33 percent while its high-rise division accounted for 50.44 percent or P5.64 billion of the company’s gross revenues.
As of Sept. 30 last year, RLC operated 21 shopping malls, comprising six malls in Metro Manila and 15 malls in other urban areas throughout the Philippines, and had another 13 projects that are in the planning and development stage scheduled for completion in the next two to three years.
Among the new malls in the pipeline are Robinsons Dumaguete, Tacloban, Gen. Santos, Cebu and San Niccolas in Ilocos.
The strong rental sales, however, were offset by flat revenue growth in RLC’s hotel operations and a drop in interest income.
The 2008 net income includes an extraordinary adjustment to reduce provision for deferred income tax amounting to about P300 million. The adjustment was necessitated by the reduction of the legislated corporate income tax rate starting January 2009 from 35 percent to 30 percent.
The residential buildings division registered revenues of P4.76 billion, up 69 percent from the previous level mainly due to higher realized sales of condominium units in East of Galleria in Ortigas, Gateway Garden Ridge and Gateway Garden Heights in Pioneer, Mandaluyong and Otis 888 Residences in Manila.
The office buildings division, on the other hand, reported a 24-percent growth in revenues to P883 million due to stable recurring lease income from six of RLC’s office buildings, which have become the choice corporate addresses of reputable multinational companies as well as BPO (business process outsourcing) firms.
Zinnia B. Dela PeƱa 
January 24, 2009
http://www.robinsonsoffices.com/jan-mar2009.html
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Sunday, February 17, 2008

Stock News 2008: Robinsons Land to sell P1.5-B receivables

JP Morgan Chase TowerImage by mheisel via FlickrRobinsons Land Corp. (RLC), the property arm of Gokongwei flagship JG Summit Holdings Inc., has entered into an agreement with Home Funding Inc. (HFI) for the sale of up to P1.5 billion worth of receivables.
HFI is a special purpose company formed pursuant to the Securitization Act of 2004.
In a disclosure to the Philippine Stock Exchange, RLC said the receivables, will come from certain contracts to sell with the company’s buyers for securitization.
The agreement effectively provides covered buyers with an additional option for long-term financing on their condominium purchase.
The assignment of receivables will be implemented in several tranches subject to certain conditions, including the approval by the Securities and Exchange Commission of the securitization plan, RLC said.
Securitization is a financial transaction in which assets are pooled and securities representing interests in the pool are issued. Assets that can be securitized include auto loans, student loans, mortgages, credit card receivables, lease payments, accounts receivables and corporate or sovereign debt.
In a typical arrangement, the owner or originator of assets sells those assets to a special purpose vehicle (SPV). This may be a corporation or some form of partnership established specifically to facilitate the securitization. It may hold the assets or collateral on its balance sheet or place them in a separate trust. In either case, it sells bonds to investors, the proceeds of which will be used to pay the originator for the assets.
RLC earlier forged a strategic alliance with JP Morgan Chase Bank NA to tap the cash management services of the New York-listed global financial services company.
According to RLC, the increased efficiency to be brought about by JP Morgan’s cash management services will expedite clearing periods for international checks, resulting in much-quicker turnaround time and convenience for the property firm’s growing number of buyers based in the US, Europe and Asia.
RLC has earmarked P10 billion for its capital expenditures this year which include the construction of six new malls, new office buildings and residential subdivisions.
Its latest project within Bonifacio Global City is Trion Towers, a three-tower, high-rise condominium project which would rise on a one-hectare property at the corner of McKinley Parkway and 8th Avenue. Each tower would have 49 stories and house 700 residential units.
Construction of the project will start this year and is expected to be completed in three years.
RLC would launch another high-rise residential project geared towards the upper income market in a one-hectare lot near Forbes Park.
Zinnia B. Dela PeƱa
February 17, 2008
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Sunday, February 3, 2008

Stock News 2008: Ladylove gets her wish, meets man of her dreams

Xavier Hall in the Ateneo de Manila University.Image via WikipediaMANILA, Philippines -- If there was one person you would, figuratively speaking, give your life to meet, who would it be?
For 18-year-old Ladylove Torsiende of Cotabato City, it was not a popular heartthrob-movie star but 81-year-old business tycoon John L. Gokongwei.
Last week, the Inquirer made her dream come true.
“Ladylove, what an unusual name,” Gokongwei, one of the richest men in the country, said when she was introduced to him at his penthouse office in Ortigas Center last Jan. 31.
Ladylove, a bright girl who was forced to drop out of high school because of her family’s financial difficulties, was one of 22 Inquirer letter-writers chosen to have their wishes granted during the paper’s 22nd anniversary last December.
Clad in blue jeans and a printed blouse, Ladylove said she “just knew” that the meeting with her idol—which lasted about 30 minutes—would somehow change her life.
Her bet was good.
At the end of the chat, not only did Ladylove receive a gift check from the taipan, she also got a promise from him to pay for her tuition should she pass the entrance exams to her dream school, the Ateneo de Manila University (ADMU), which hosts the John Gokongwei School of Management.
“When you are able to accomplish the test required by Ateneo, then I will help,” Gokongwei said.
Ladylove was ecstatic. She said her dream to meet Gokongwei began when she read about his inspiring rags-to-riches story in the Sunday Inquirer Magazine.
When she learned about the Inquirer contest, Ladylove said she had thought about asking for a bunch of material things. But inexplicably, her instincts told her that she should write about the Chinese-Filipino businessman and wish to meet him.
She said her hunch was so strong that she had anticipated the call from the Inquirer on Jan. 22 telling her she had won. The Inquirer provided a round-trip plane ticket to Ladylove.
Gokongwei, on the other hand, said he was surprised that somebody picked him as a “wish.” His assistants said he laughed out loud and heartily when he heard about it.
34th richest in SEA
Gokongwei is chairman emeritus of JG Summit Holdings Inc., one of the largest conglomerates in the country with interests in retail, manufacturing, real estate, media, aviation and financial services, among others. According to Forbes magazine, he is the 34th wealthiest businessman in Southeast Asia, with assets valued at over $400 million.
Two years ago, Gokongwei made his name in the philanthropy world after he announced, on his 80th birthday, that he would donate half of his personal fortune, estimated at about P20 billion, to the Gokongwei Brothers Foundation, the company’s charity.
Source of inspiration
According to the soft-spoken Ladylove, Gokongwei’s journey from humble beginnings in Cebu province to the top echelon of Philippine business has become her source of inspiration.
She said she always assumed the famous Gokongwei, whose big Robinsons malls are spread all over the Philippines, came from a rich family.
“I was amazed to read his rags-to-riches story. I did not know that he faced many hardships,” Ladylove said, adding that the image of a young Gokongwei riding his bicycle to sell goods in the market struck a chord in her.
“I learned that success was within our reach if we just tried hard,” she added.
Dreaming big
The billionaire and the simple Cotabato lass initially appeared to have nothing in common. But like Gokongwei, Ladylove also lost a parent at a young age and she had to make sacrifices to help her family.
According to the girl, her mother, Florife, died two years ago, leaving her and five other siblings. Her father, Armando, is a retired policeman. The family lives on their father’s modest pension and the remittances of her sister in Dubai.
Four years ago, in her second year in high school, Ladylove’s parents asked her to quit school because they could not afford it anymore. Ladylove said she cried but did not rebel.
She was sad, though, because she was doing well in school. She graduated valedictorian of her elementary school and felt she had a great chance of duplicating the feat in high school. After she stopped going to school, she helped out in her parents’ small sari-sari store.
Gokongwei’s beginnings
Gokongwei’s own story is that when he was 13, his father died leaving him the family’s breadwinner and forcing him to stop school and find work. To make ends meet, Gokongwei said he sold goods at the market using an old bike.
Last year, Ladylove was finally able to return to school. She enrolled for a six-month computer vocational course at the Notre Dame University and is set to take the Department of Education’s high school equivalency test this month.
If she passes the exam, she will be eligible to enroll in a regular college, something that she is determined to do. She said she dreams of entering the corporate world and having her own company to run in the future. And yes, she dreams of enrolling in ADMU’s John Gokongwei School of Management.
When questioned by her idol—“Ateneo is a tough school to get in,” he said—Torsiende simply replied: “I dream big.”
This earned immediate approval from Gokongwei: “Oooh, that’s what I said. It’s good to dream.”
Leadership skills
Ladylove made her pitch: “I think I have great leadership skills.” Just last month, she said, she was one of several students chosen to represent her school at The Young Partners Meeting organized by the Consuelo Foundation in Laguna.
After the meeting, Ladylove confided that Gokongwei, with his booming voice and laughter, intimidated her. “But he was a nice man,” she added.
The taipan gave Ladylove a copy of his biography “John L. Gokongwei Jr.: The Path to Entrepreneurship.” Everything you need to become a success is in it, he told her.
“It’s a lonely road. You just have to do it,” he added.
Then at the end of their chat, he gave his young fan his calling card, saying that if she needs something, she knows where to reach him.
Kristine L. Alave
February 03, 2008
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