Shang Properties boosts H1 earnings to P634 million

MANILA, Philippines – Shang Properties Inc. hiked its first semester net earnings 37.3 percent to P634.1 million on the back of increased sales from its luxury high-rise residential project One Shangri-La Place.

In a financial report submitted to the Philippine Stock Exchange, Shang Properties said total revenues expanded 56.7 percent to P2.15 billion due to higher sales bookings and increase in percentage completion of its projects.

Sales from condominium projects grew more than three-fold to P1.11 billion while revenues from lease operations slightly went up to P895.78 million. The higher lease rates for Shangri-La Plaza Mall made up for The Enterprise Center’s lower rental yield. 

Expenses, however, nearly doubled from P652.18 million to P1.27 billion.

As of end-June this year, Shang Properties had total assets of P34.6 billion, slightly higher than the end-December 2011 figure of P34.4 billion.

Shang Properties is simultaneously constructing three major projects -- One Shangri-La Place in Ortigas Center, Shangri-La Hotel at the Fort, and the Shang Salcedo Place in Makati - with a combined capital outlay of P37.3 billion.

The investment includes the P1.8 billion earmarked for renovations of the existing Shangri-La mall, its park building and its surroundings.

The company’s largest development to date, One Shangri-La Place, is targeted for completion sometime in 2014. It comprises twin skyscrapers housing 1,304 units above the six-level Shangri-La mall expansion.

The new mall will feature over 150 shops and various restaurants when it opens to the public end this year.

More than 60 percent of the residential units had already been taken up.

Located in the West Super Block of the Bonifacio Global City, Shangri-La at the Fort in Bonifacio Global City will house a 577-room-Shangri-La Hotel slated for completion in 2014. The mixed-use project will also offer 97 serviced apartments and 99 posh residential condominium units.