Global Estate posts 10% hike in net income

MANILA, Philippines - Tourism estate developer Global -Estate Resorts Inc. (GERI) of property tycoon Andrew L. Tan reported higher profits last year as sales of its leisure projects remain strong.

In a regulatory filing, GERI said its net income rose nearly 10 percent to P321.39 million from P294.17 million in 2012.

Consolidated revenues climbed by more than a quarter to P1.75 billion from P1.39 billion. The bulk of revenues came from real estate sales, realized profits on year’s sales, hotel operations, rental and finance, and other income.

“Real estate sales came from the sale of residential subdivision lots and townhouses amounting to P906 million,” GERI said.

GERI said it recorded higher sales from the sale of lots in Newcoast Shophouse District, Boutique Hotel and The Village in Boracay; Sta. Barbara Heights in Iloilo City; Twin Lakes Domaine Le Jardin in Laurel, Batangas; and Cathedral Heights in Quezon City.

The company added that said robust real estate sales figures were driven by aggressive marketing program and take-up of new projects.

Meanwhile, total cost and expenses rose to P1.31 billion from P1.07 billion due to higher cost of real estate sales, services, hotel operations and operating expenses.

GERI is the company behind several tourism estates such as the 150-hectare Boracay Newcoast in Boracay Island; the 1,149-hectare rolling terrains of Twin Lakes in Tagaytay; and the 170-hectare Sta. Barbara Heights in Iloilo City.

It is part of Tan’s Alliance Global Group Inc., which is also into property (Megaworld Group), liquor (Emperador Inc.) fastfood (McDonald’s franchise operator Golden Arches Development Corp.) and hotels and casino (Travellers International Hotel Group Inc.).