Property developer Century Properties Group Inc. grew its 2011 net profit attributable to parent equity holders by 284 percent to P864.5 million on higher revenues from real estate operations.
Including non-controlling interests, CPG’s net profit last year expanded by 382.2 percent to P866.1 million from the previous year.
For 2012, CPG chief finance officer Jose Carlo Antonio said the firm’s pre-sales for the first quarter hit P5.3 billion consisting of 812 units, keeping it on track to hitting its P20-billion pre-sales goal for this year.
Century plans to at least double this year its P866-million profit last year.
“We remain upbeat about the Philippine economy and property sector and our first-quarter results strengthened our resolve to deliver differentiated projects across multiple price points,” Antonio said.
In the meantime, CPG’s board approved the release of dividends of 10 percent of 2011 income, or P85.4 million.
For 2011, CPG grew its sales by 53 percent to P4.7 billion. Revenues booked from real estate sales amounted to P3.76 billion, up 43.9 percent from the year before. This was due to significant construction progress in The Gramercy Residences, The Knightsbridge Residences and the Rio Building in Azure Urban Resort Residences.
http://business.inquirer.net/53825/century-properties-profit-up-284
Showing posts with label cash dividend. Show all posts
Showing posts with label cash dividend. Show all posts
Monday, April 16, 2012
Friday, August 20, 2010
Stock News 2010: PhilWeb okays cash dividend
Image via WikipediaMANILA, Philippines - PhilWeb Corp., the country’s first and largest listed online technology firm, has approved a cash dividend of 10 centavos per share worth a total of P125 million.In its disclosure to the Philippine Stock Exchange, PhilWeb said the cash dividends are payable on Sept. 20 to shareholders on record as of Sept. 3.
PhilWeb president Dennis Valdes said this marks the company’s first dividend declaration, coming off the back of four years of growing profits dating back to 2006.
“We are very proud to join the ranks of PSE-listed companies that can be classified as dividend-paying entities. This is just small measure of the thanks we have to our loyal stockholders who have supported us since our listing in 2001,” said Valdes.
“We fully expect to continue this trend of paying dividends on a regular basis from hereon,” he added.
In the first half this year, PhilWeb reported a 41-percent jump in net profit to P322 million on strong revenues from its core gaming operations. Revenues grew 40 percent to P508 million from P362 million.
PhilWeb is a lead technology enabler of state-run Philippine Amusement and Gaming Corp. (Pagcor) whose core businesses include e-Games (PEGS) Cafes, Internet sports betting stations, mobile phone gaming and online casino gaming.
The company’s other products, namely Basketball Jackpot, Premyo Sa Resibo, and the newly-launched Bid Wars mobile game, also boosted PhilWeb’s bottom line.
Valdes said the company’s core businesses continue to do well, and that they are already closely coordinating with the new management of Pagcor on how PhilWeb can continue to be a major contributor to the state-run gambling agency’s bottom line.
“Last year, we contributed over P1 billion to Pagcor from our PEGS business alone. This amount flows directly to Pagcor’s net income, as they do not have any capital expenditures or operating costs associated with this revenue. As of June 2010, our PEGS business alone has remitted over P600 million to Pagcor, a growth rate of 33 percent,” Valdes said.
Valdes said the company has also been focusing on its expansion overseas. It is close to obtaining a gaming license in Cambodia. PhilWeb is also working to obtain gaming licenses in other countries, including Laos, Vietnam, Myanmar, Guam, Saipan, Palau, Papua New Guinea, East Timor and Nepal.
The company expects it bottom line to reach over P1 billion this year with the launch of its e-Games Online, operated by subsidiary Philweb Homeplay Inc. which allows Filipinos nationwide to access Pagcor’s traditional casino games like blackjack, baccarat and roulette.
Last year, PhilWeb posted a net profit of P552 million, up 89 percent from the 2008 level. Bulk of earnings, or P523 million, came from core gaming operations which represented an increase of 126 percent over the previous year. The balance of P29 million came from PhilWeb’s equity investment in ISM Corp., amounting to P633 million.
Zinnia B. Dela Peña
August 20, 2010
http://www.philstar.com/Article.aspx?articleId=604255&publicationSubCategoryId=66
Stock news 2010: PSEi (Philippines Stock Exchange index) highest dividend yielding stock as of August 20, 2010
Image via WikipediaPSEi (Philippines Stock Exchange index) highest dividend yielding stock as of August 20, 2010 07:49:46 CETStock name | Last trade | ROE | Yield % | |
GLOBE TELECOM | 783.00 | 10.0 | 26.0 | 16.60 |
SAN MIGUEL CORP B | 66.50 | 30.9 | 32.2 | 9.62 |
SAN MIGUEL CORP A | 67.80 | 31.5 | 32.2 | 9.44 |
PHILIP. LONG DIST. TEL. COMP. | 2.00 | 11.0 | 40.3 | 9.10 |
GMA NETWORK | 6.10 | 9.4 | 22.1 | 7.38 |
MANILA ELECTRIC COMPANY | 178.00 | 25.9 | 10.9 | 4.02 |
MANILA WATER COMPANY | 17.50 | 13.4 | 21.2 | 3.77 |
BANK OF THE PHILIP. ISLANDS | 48.70 | 18.6 | 13.1 | 3.60 |
FIRST PHILIPPINE HOLDINGS | 58.70 | 1.1 | 29.6 | 3.41 |
PHILIPPINE STOCK EXCHANGE | 295.00 | 43.3 | 10.9 | 3.39 |
ROBINSONS LAND CORP | 14.40 | 11.2 | 13.5 | 3.33 |
UNIVERSAL ROBINA CORP | 35.00 | 9.2 | 11.5 | 2.69 |
FILINVEST LAND | 1.26 | 13.2 | 5.2 | 2.64 |
SECURITY BANK CORP | 77.00 | 9.4 | 20.1 | 2.60 |
ENERGY DEVELOPMENT CORP | 4.89 | 15.5 | 11.9 | 2.46 |
JOLLIBEE FOODS CORP | 79.30 | 29.3 | 17.5 | 2.41 |
ABOITIZ EQUITY VENTURES | 21.95 | 7.5 | 20.1 | 2.37 |
DMCI HOLDINGS | 21.85 | 8.7 | 25.3 | 2.29 |
SM PRIME HOLDINGS | 11.34 | 20.5 | 14.9 | 2.21 |
SM INVESTMENTS CORP | 480.00 | 17.1 | 13.6 | 1.64 |
ABOITIZ POWER | 18.92 | 8.3 | 17.5 | 1.59 |
BANCO DE ORO UNIBANK | 50.75 | 15.6 | 10.4 | 1.58 |
METROPOLITAN BANK & TRUST | 66.10 | 19.1 | 8.7 | 1.51 |
PHILEX MINING CORP | 9.87 | 17.0 | 19.6 | 1.42 |
INTERN. CONTAINER TERM. SERV. | 34.00 | 19.9 | 12.8 | 1.18 |
AYALA | 342.00 | 25.2 | 7.6 | 1.17 |
MEGAWORLD CORP | 1.98 | 11.6 | 9.2 | 0.96 |
ALLIANCE GLOBAL GROUP | 6.95 | 11.2 | 10.0 | 0.86 |
AYALA LAND | 16.30 | 46.4 | 8.1 | 0.46 |
FIRST GEN CORP | 10.24 | 0.0 | 2.9 | 0.00 |
Friday, July 2, 2010
Stock News 2010: Dividend distribution issue under the REIT Law and its IRR
Image via WikipediaNews reports of late have publicized the intention of many of the country’s corporate power players to put up real estate investment trusts (REITs) to raise funds from the public. They include the Ayala and the SM groups, to name a few.
The law governing the REITs is Republic Act No. 9856 ("REIT Act of 2009 or REIT Law" or "law"), which lapsed into law last 17 December 2009. The policy underlying the law’s passage, as enunciated in Section 2, is to promote "the development of the capital market, democratize wealth by broadening the participation of Filipinos in the ownership of real estate in the Philippines, use the capital market as an instrument to help finance and develop infrastructure projects and protect the investing public by providing an enabling regulatory framework xxx." A REIT is a stock corporation established under the rules of the Corporation Code of the Philippines principally for the purpose of owning income-generating real estate assets. Although designated as "trust," it does not have the same technical meaning under existing laws.
The Securities and Exchange Commission (SEC) approved the Implementing Rules and Regulations (IRR) of the REIT Law last May 13, while the Bureau of Internal Revenue (BIR) is still drafting the counterpart revenue regulations that will define the availment of tax incentives by REITs.
The SEC’s IRR contain certain provisions which appear to be inconsistent with the provisions of the REIT Law. One important provision pertains to the limitations on the dividend distributions of REITs to public shareholders which will be the subject of this article.
Like all other corporations, a REIT is allowed under the rules to have different classes of shares of stocks, as long as the same is provided in its Articles of Incorporation. However, the exercise of this power is subject to a unique limitation with respect to the percentage of dividends allowed to public shareholders. Public shareholders are those shareholders that are not non-public shareholders (e.g. sponsor/promoter of the REIT; director, principal officer or principal stockholder of the REIT or its sponsor/promoter; associate of a director, principal officer or principal stockholder of the REIT or its sponsor/promoter of the REIT; a related corporation of the REIT or its sponsor/promoter)
Under the law, the percentage of dividends received by the public shareholders to the total dividends distributed by the REIT must not be less than the percentage of their aggregate ownership to the total outstanding shares of the REIT, as illustrated by the formula:
On the other hand, under the IRR, the percentage of dividends allowed to be received by the public shareholders is determined in reference to each class of stock and in an amount which should be at least equal to or more than the percentage of their aggregate ownership to the total outstanding shares of the REIT with respect to that particular class of stock. Thus, the formula under the IRR would be:
Under the IRR, public shareholders may receive a percentage of dividends which is less than their percentage aggregate ownership to the total outstanding shares of the REIT if the dividends are concentrated on other class of shares which is owned less by the public, contrary to the provision of the law.
Cleary, there is a need to harmonize the apparent inconsistency in the REIT Law and IRR provisions since there is a possibility that the application of the IRR provisions may be prejudicial to the public shareholders to the extent of diminishing or circumventing in any form their entitlement to dividends as provided under the REIT Law. Nevertheless, under this case, the IRR provisions would be rendered void and of no force and effect law as provided under the REIT Law.
Another issue that needs to be clarified is in respect to the mandatory dividend distribution provided under Section 7 of the REIT Law. Under this provision, a REIT is required to distribute at least 90% of its distributable income as dividends to its shareholders annually. Said distribution shall be allowed as a deduction for purposes of determining the REIT’s Taxable Net Income.
It will be noted further that while the 90% annual dividend distribution under Section 7 is mandatory, payment of said dividend is still subject to Section 43 of the Corporation Code which provides that dividends shall be payable only from out of the unrestricted retained earnings of the REIT.
The relevant question now is what happens if the REIT’s unrestricted retained earnings are not sufficient to cover the required annual dividend distribution? Would the REIT still be required to declare dividends but payment shall be subject to the availability of unrestricted retained earnings at a later date; or will it be required to make a partial declaration; or will the absence of sufficient retained earnings be considered an exemption to the mandatory requirement?
Moreover, in case of partial distribution, will the REIT still be entitled to deduct the dividends from gross income? This question must perhaps be clarified in REIT revenue regulations of the BIR.
Given this stringent requirement, it is therefore logical to surmise that in order for the REIT to meet this 90% distributable income, a REIT must also have unrestricted retained earnings of at least 90% of its distributable income to be able to avail of the tax incentives.
The minimum dividend distribution requirement highlights the importance of knowing the composition of distributable income. The IRR identified certain gains and losses that are not included in the distributable income of the REIT (e.g. unrealized forex gains, except those attributable to cash and cash equivalents; fair value adjustment or the gains arising from marked-to-market valuation which are not yet realized; fair value adjustment of investment property resulting to gain)
The IRR also identified certain non-actual expenses or losses that are allowed to be added back to distributable income, i.e. depreciation on revaluation increment (after tax), adjustment due to any of the prescribed accounting standard which results to a loss and loss on fair value adjustment of investment property (after tax).
The language of the IRR on the provision is permissive and not mandatory. The provision, however, does not identify who or what is allowed to add back these items to the distributable income of the REIT. It cannot be the REIT itself because this would make the provision irrelevant as there is no necessity that would prompt the REIT to add back these items. Increasing the distributable income merely increases the required minimum dividend distribution of the REIT. If the REIT wants to distribute dividend beyond the minimum, it may do so provided that it has available unrestricted retained earnings. It does not need to increase its distributable income for a particular year to do so.
In addition, the law contains a provision that excludes from distributable income the proceeds from sale of REIT assets that are reinvested in the REIT within one year from date of sale. The proceeds from sale of REIT asset necessarily include the gain or loss from sale of such asset.
However, the IRR included in the computation of distributable income the gain from sale of REIT’s assets that are reinvested in the REIT within one year from date of sale. One concern on this provision in the IRR is whether it is the intent of the law to include such gain in the income to be distributed by the REIT.
It is possible that the law contemplates allowing the REIT to have the discretion to invest all proceeds from sale of its asset, including any gain in the transaction, into the REIT, instead of distributing part of such proceeds, i.e. gain on sale of assets, to the stockholders.
The REIT Law introduced a new concept in the Philippines. Because of its novelty, it is important for the IRR, or the still to be issued revenue regulation, to be clear and well-thought out so that it reflects the intention of the law.
Then, the law will be one step closer in realizing its lofty objectives as stated in the declaration of policy, i.e. promoting the development of the capital market, democratizing wealth through Filipino participation in real estate, using the capital market to finance and develop infrastructure projects and protecting the investing public.
Julie Fe A. Del Rosario
July 2, 2010
Tuesday, February 23, 2010
Stock News 2010: Meralco to pay dividends of 50% of core net
Image via WikipediaMANILA, Philippines - Manila Electric Co., the Philippines' largest power distributor, said on Tuesday its board of directors has approved a dividend payout equivalent to 50% of its core earnings compared with about 30% previously.Meralco also said it was optimistic its core net income this year would be higher than 2009, but declined to give a specific forecast.
"Moving forward, it's better to have a consistent dividend policy," said Rafael Andrada, company treasurer. He added there was no formal policy previously though the company's prior cash dividends were around 30%.
Company chairman Manuel Lopez said in a statement the regular dividends could be supplemented by special dividends on a look-back basis.
Meralco reported net income of P6 billion in 2009, up 114% from 2008.
Core net income -- which takes out the effect of foreign exchange gains or losses, mark-to-market adjustments and provisions for possible refunds to customers -- climbed to P7 billion in 2009 from P2.61 billion a year earlier.
Manila Electric is partly owned by holding firm Metro Pacific Investments Corp. and its affiliate Pilipino Telephone Corp., and food-to-power conglomerate San Miguel Corp.
http://www.abs-cbnnews.com/business/02/23/10/meralco-pay-dividends-50-core-net
Thursday, February 4, 2010
Stock News 2010: Globe Telecom declares P40/share cash dividend
Image via WikipediaMANILA, Philippines - Globe Telecom Inc., the Philippines' second-largest telecommunications firm, has declared a cash dividend of P40 per common share.The first semi-annual cash dividend worth P5.3 billion is 42% of the Ayala-led firm's 2009 net income. Globe Telecom shareholders of record as of February 19 will receive the cash dividend on March 15.
The move is in line with Globe Telecom's new policy of distributing between 75% to 90% of the company's profits in the previous year.
"It has been always been our aim to provide superior returns to our shareholders and this first semi-annual cash dividend shows our commitment to achieving this vision," Globe Telecom president and chief executive officer Ernest Cu said in a statement released Thursday.
"In addition to generating good returns, the increase in regular payout will also help ensure that our debt-to-equity ratios stay at optimum levels," he added.
Globe Telecom reported an 11% rise in profits last year to P12.6 billion on non-recurring gains in the first half of 2009. Core net income, on the other hand, increased by 2% to P12 billion.
http://www.abs-cbnnews.com/business/02/04/10/globe-telecom-declares-p40share-cash-dividend
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