GLOBAL-ESTATE Resorts, Inc. (GERI) reported its net income attributable to the parent expanded by more than half in 2017, pushed by the development of its tourism estates.
In a regulatory filing, the leisure and tourism arm of Megaworld Corp. said it booked P1.5 billion in attributable profit last year, 56% higher than the P964 million it posted in 2016.
Revenues also grew 12% to P6.45 billion in 2017 against the P5.75 billion it recorded in the year before.
GERI attributed this increase to real estate sales — the largest contributor to revenues at over 70% — which rose 4% to P4.5 billion in 2017. The sales came from the company’s residential projects in Alabang West, Boracay Newcoast, and Twin Lakes in Tagaytay.
The company also noted in a statement that realized gross profits from prior years’ sales jumped by 112% to P819 million, as it completed more residential projects in 2017.
The rental income segment meanwhile grew by 54% to P161 million for the year, following the opening of Southwoods Mall in Southwoods City in Biñan, Laguna. Southwoods Mall is GERI’s first full-scale mall, which has cinemas, a food hall, and a supermarket.
The company plans on pursuing more leisure townships in the coming years to ensure its growth.
“In the next three years, we will be introducing more integrated lifestyle communities where nature becomes the focal point of our developments. Our existing land bank offers abundant nature reserves that we want to further nurture and preserve as part of our communities,” GERI President Monica T. Salomon said in a statement.
The listed firm currently has five tourism estates and two integrated lifestyle communities spanning over 3,000 hectares of land across the country.
Last year, GERI launched its latest integrated lifestyle community called The Hamptons Caliraya in Lumban-Cavinti, Laguna. The 300-hectare estate will house lakeside residential villages and villas, a town center, a shophouse district, and resort hotel district.
Shares in GERI were flat at P1.56 apiece at the stock exchange on Monday. — Arra B. Francia
