Tan's Eton Properties clears P18 million in first quarter

MANILA, Philippines – Eton Properties Philippines Inc. (EPPI) is finally in the black after posting a net income of P18 million in the first quarter this year, as against a loss of P48 million in the same period in 2008.

EPPI, the property arm of the Lucio Tan Group of Companies, registered consolidated revenues of P353 million or more than 44 times the P8 million recorded a year earlier, driven by sales from One Archers Place.

One Archers Place is a 31-storey residential condominium beside De La Salle University along Taft Avenue in Manila. Construction activities have already reached the 10th floor as of end-March this year.

Under accounting rules, revenues will only be realized based on percentage completion of residential project construction.

EPPI said it expects to realize additional revenues from other residential projects, namely, The Eton Residences Greenbelt, Eton Baypark Manila, Eton Emerald Lofts, Eton Parkview Greenbelt, Belton Place, SouthLake Village at Eton City, and The Manors at North Belton Communities. All these projects are currently undergoing construction at various stages.

Given the full-blast construction of a number of projects, the company said it aims to sustain its profitability for the rest of the year when substantial construction works will be completed.

EPPI president and chief operating officer Danilo Ignacio earlier said 2009 is shaping up to be a banner year for the property firm as it begins to recognize revenue from its residential projects and earn leasing income from its office and commercial projects.