EARNINGS of D.M. Wenceslao & Associates, Inc. (DMWAI) was pulled down by lower land sales for the three months ending September.
In a regulatory filing, DMWAI reported its attributable profit dropped by 31% to P524.73 million in the July to September period. This followed a 41% decline in revenues to P583 million.
The company managed to deliver a 4% attributable profit increase to P1.49 billion in the nine months ending September, despite revenues slumping by a third to P1.78 billion.
DMWAI attributed the lower revenues to the absence of land sales, which is part of its long-term strategy to control land sales as the value of Aseana City increases. Aseana City is the company’s flagship mixed use development in Parañaque City.
“With the fast-rising land values in Aseana City, we have determined prudent and appropriate strategies to strengthen our foundation for future growth. These include the planned land sale in 2019 and the increased leasable gross floor areas of our pipeline projects,” DMWAI Chief Executive Officer Delfin Angelo C. Wenceslao said in a statement.
Despite the lower performance this quarter, Mr. Wenceslao said they are still on track to generate double-digit net income growth for full year 2018.
DMWAI’s total leasable gross floor area added to almost 90,000 sq.m. of leased land area reached 155,148 sq.m., while land reserves in Aseana City stood at 313,415 sq.m.
Shares in DMWAI slipped 0.77% or six centavos to close at P7.71 apiece. — Arra B. Francia
