Sta Lucia sees profit doubling to P600M

MANILA, Philippines - Property developer Sta. Lucia Land Inc. (SLI) said it expects its profits to double this year with real-estate revenues expected to further pick up in the second half.

In an interview, SLI president and chief executive officer Exequiel D. Robles said the company expects earnings to hit P600 million by yearend, double than the P300 million it posted last year.

Robles said this year’s net income growth will be pushed by the realization of previously deferred revenues from some of its already constructed projects.

 “There are a lot of projects that we have already launched in the past which income are still unrealized,” he said.

Last year, SLI’s core earnings fell 3.6 percent to P300 million from P311 million in 2012.

The real estate developer attributed the decrease to deferred revenue recognition on sales on some of its projects as a result of longer downpayment schemes.

But as of the first half of the year, net income of the listed property firm owned by the Robles and Santos families already surged to P307 million from P120 million during the same period last year.

 “We had a good first half so I think we’re on track to meet our P600 million target for the year,” Robles said.

The Sta. Lucia Group has had a strong history of building quality projects, having developed over 9,000 hectares of prime properties with over 200 projects nationwide.

For this year, the company has already lined up 20 more projects to add to its portfolio, with six of these new developments already commencing as of the first half of the year.

From building planned residential subdivisions communities, SLI has successfully diversified into vertical residential developments.

SLI by far has served the middle income segment by providing residential units while tailor-fitting amortization schemes to make the units affordable without comprising quality.