Robinsons Q1 profit hit by Galleria fire, Tacloban mall damage
MANILA, Philippines - Gokongwei-led Robinsons Land Corp. said its profit fell 13% to P1.03 billion in the first quarter ending December 2013.
The Gokongwei-led property firm's first quarter net income was affected by the losses incurred from the fire that hit Robinsons Galleria and the significant damage suffered by Robinsons Place Tacloban due to super typhoon "Yolanda"
RLC said typhoon and fire losses hit P315.9 million during the October to December 2013 period.
A fire hit the third floor of Robinsons Galleria last October 29, which led to the mall's 2-day closure. On the other hand, Robinsons Place Tacloban was damaged and looted in the aftermath of "Yolanda" last November.
RLC said total real estate revenues jumped 19.3% to P3.98 billion in the first quarter from P3.34 billion during the same period in 2012. Hotel revenues were flat at P401.2 million.
"Aside from typhoon Yolanda losses and Galleria mall fire loss, decrease in interest income by P51.5 million brought further non-operating losses to a high level at P323.1 million resulting to a lower net income for the period," the company said.
Meanwhile, real estate expenses went up 24.5% due to higher cost of realized real estate sales, while hotel expenses fell 2.7%. General and administrative expenses also rose 14% due to higher commissions, salaries and taxes.