LISTED Century Properties Group, Inc. (CPG) on Monday reported P795.56 million in net income to equity holders for 2020, nearly 38% lower than the previous year’s P1.28 billion due to the pandemic’s impact on sales, collections, and construction activities.
The listed property firm’s Chief Financial Officer Ponciano S. Carreon, Jr. said the results were “within expected levels that the company has prepared for.”
“CPG generated reasonable profits as a result of its diversification strategies in the prior years, demonstrating the industry experience and track record of the company and its management team,” Mr. Carreon said.
The company finished the year with a 22.2% decline in net income to P1.15 billion from P1.48 billion, while the company’s topline fell 24% to P10.84 billion from P14.32 billion in 2019.
“The high-margin segments of affordable housing and office leasing proved to be resilient throughout the year and contributed 93% to the net income compared [with] 43% last year,” Mr. Carreon said.
Office rentals accounted for 58% or contributed P665 million to CPG’s net income, while its affordable housing segment accounted for 35% or P398 million.
“The company’s in-city vertical developments and property management businesses posted marginal contributions, as last year’s quarantine measures hampered construction and streamlined property management operations,” it said.
CPG, through its joint venture with Mitsubishi Corp., will be launching new housing communities under the brand PHirst Park Homes in Cavite, Bulacan, and Quezon by the second half of the year.
The company also said it accelerated its digitalization programs and contactless transaction systems — from sales transactions to home owner unit turnovers — to ensure safe and convenient services.
CPG said it provided 7,200 free COVID-19 (coronavirus disease 2019) tests for its employees and residents in all of its residential, office, retail, and medical properties.
It is also preparing a vaccination program to be held in the second quarter for the company’s employees and their qualified dependents.
“More recently, the company successfully raised P3 billion from its offering of three-year bonds that is intended to refinance existing debt, support the company’s capital expenditures and fund general corporate purposes including working capital,” it said.
It added that the bonds due in 2024 were more than twice oversubscribed from its base offer.
On Monday, its shares at the stock market closed unchanged at 40 centavos each. — Keren Concepcion G. Valmonte
