D.M. Wenceslao profit climbs 44% to P1.88 billion

MANILA, Philippines — D.M. Wenceslao and Associates Inc. reported a core net income of P1.88 billion last year, up 44 percent from P1.31 billion in 2020 on the back of a resilient leasing business, improved residential gross margin and  land sale.

The  2021 figure  is 12 percent higher than  the company’s pre-pandemic 2019 core net income of P1.68 billion.

Company CEO Delfin Angelo ‘Buds’ Wenceslao said the business environment still faces potential re-emerging risks as well as new risks, including geopolitical conflicts even as there are opportunities for growth.

“Amidst precarious circumstances, we remain steadfast in our two-pronged approach anchored on nimbleness. We remain mindful of risks through maintaining a more-than-capable balance sheet, implementing a business continuity plan, and prioritizing the welfare of stakeholders while hand-in-hand remaining on track with our expansion goals to capture opportunities beyond current risks,” Wenceslao said.

Core net income excludes the after-tax impact of one-off gains amounting to P850 million in 2019 and P1 billion in 2020 related to termination of a joint venture agreement as well the adjustment of tax expense in 2021 due to the effectivity of the CREATE Law.

Recurring income, which consists of rentals from land, building, and other revenues such as common use service area fees, improved by two percent to P1.99 billion,  accounting for 58 percent of the total revenues.