Robinsons Land net income up 22% to P830.3-M

Robinsons Land Corp. (RLC) reported a net income of P830.3 million in the first half of its fiscal year ending September 2006, up 22 percent from the previous year’s P678.7 million. In a financial report filed with the Securities and Exchange Commission (SEC), RLC said its gross revenues grew 32 percent to P3.35 billion while operating income amounted to P1.197 billion from only P877 million. EBITDA, on the other hand, amounted to P1.82 billion or an increase of 26 percent from the year ago’s P1.44 billion.

The commercial centers division continued to be RLC’s largest revenue contributor, accounting for 48 percent or P1.59 billion of total revenues. The company’s flagship mall, Robinsons Place Manila continue to enjoy excellent rental income while newer malls, Robinsons Place-Pioneer and Robinsons Place-Angeles and the redeveloped Robinsons Place-Novaliches also contributed to the rental growth.

The company’s high-rise buildings division registered revenues of P1.12 billion, more than double the P545.2 million recorded a year earlier. This is mainly due to the recognition of realized revenues from its projects particularly One Gateway Place, a middle-cost residential condominium building in Pioneer St., Mandaluyong and One Adriatico Place located along Adriatico St. Malate, Manila.

Likewise, the division’s office buildings including the newly-opened Cybergate Center in the Pioneer Complex, are enjoying almost full occupancy. These office buildings have become the top choices of business process outsourcing companies and call centers due to their prime locations and technical design. Rental income from these buildings amounted to P160.3 million as against P109.9 million a year ago.

Meanwhile, the Hotel division registered revenues of P439.7 million, 87.74 percent higher than the year ago’s P234.2 million due to the excellent reception to the opening of Crown Plaza Hotel. Holiday-Inn Galleria Manila remained steady while Cebu Midtown Hotel and Robinsons Apartelle in Mandaluyong registered revenue growth of 18 percent and 38 percent, respectively.

However, the company’s housing and land development division, reported a 16.5 percent drop in revenues to P190.5 million, due to lower project completion.

RLC’s housing subsidiaries include Robinsons Homes Inc. and Trion Homes Development Corp. RLC said real estate cost amounted to P1.2 billion, up 18 percent from P1.02 billion. Hotel costs and expenses increased due to the opening of Crowne Plaza Hotel. General and Administrative expense rose 29 percent mainly as a result of higher marketing and selling expenses on account of higher sales and revenues of high-rise and commercial divisions. Interest income fell to P73.7 million from P124.2 million as the initial adoption of Philippine Accounting Standard entails higher interest-bearing principal compared to latter years.