DMCI Project Developers, Inc. generated P20.1 billion in reservation sales during the first half of 2019, keeping the company on track to hit its P38-billion target for the year.
In a regulatory filing, the company more known under the DMCI Homes brand said this is 13% lower than the P23 billion it booked in the same period a year ago due to the timing of project launches.
DMCI Homes is banking on the launch of seven projects within the year to drive sales.
“We exceeded our first half target and expect further boost from our second half launches,” DMCI Homes President Alfredo R. Austria said in a statement.
DMCI Homes unveiled two projects in Quezon City, namely Cameron Residences and The Cresmont, within the first semester.
Located in Roosevelt Avenue, Cameron Residences is set to generate around P4 billion from the sale of one- to three-bedroom units priced from P3.94-9.74 million. Target completion for the project is in March 2025.
Meanwhile, the 50-storey Cresmont is expected to book P6 billion in sales. The residential tower will rise along Panay Avenue in Barangay South Triangle near Quezon Avenue station of the Metro Rail Transit (MRT) Line 3. It offers one- to three-bedroom units that will be ready for occupancy by September 2025.
In a press briefing last week, Mr. Austria said they are looking at turning the first five floors of The Cresmont into serviced apartments.
The launch of the two projects follows the strong take-up seen in DMCI Homes’ other developments in Quezon City such as Infina Towers, The Orabella, and The Celandine.
“Quezon City is a strong market because of the ongoing infrastructure projects in the area. Once Skyway Stage 3 and MRT-7 become operational, residents will enjoy unprecedented connectivity and mobility,” Mr. Austria said.
DMCI Homes has a pipeline of five projects to be launched for the second semester, located in Pasig City, Las Piñas City, Mandaluyong City, Davao City, and Cebu City.
The company saw its net income decline 34% to P1.23 billion in the first half of 2019, due to the absence of a non-recurring gain from the sale of land last year. Without this, the company’s core net income was up 6% to P1.23 billion.
Realized revenues were also down by 10% to P9.5 billion due to lower project accomplishments.
DMCI Homes spent P8.8 billion in capital expenditures for the semester, 33% higher year on year. About 62% of the amount went to development costs, while the balance was used for land and asset acquisitions.
DMCI Homes is part of diversified engineering conglomerate DMCI Holdings, Inc., whose interests also include power, mining, construction, and water. — Arra B. Francia
