SMDC H1 profit jumps 38% on surging home sales

ABS-CBN News

Posted at Aug 01 2012 11:11 AM | Updated as of Aug 01 2012 07:15 PM

MANILA, Philippines - Sy-led property developer SM Development Corporation (SMDC) posted a 38% rise in net income to P2.7 billion in the first 6 months of the year, on the back of surging home sales.

SMDC said first half home sales went up by 85% to P19.8 billion. The number of units sold also increased by 72% to 8,007 in the January to June period from only 4,655 units during same period last year.

The bulk of the units SMDC sold in the first half of the year were Shell Residences located at Mall of Asia Complex, Green Residences along Taft Avenue near De La Salle University, Jazz Residences in Makati, Light Residences along EDSA near Boni Avenue., Sun Residences in Quezon City’s Welcome Rotunda, Wind Residences in Tagaytay and Grass Residences beside SM North EDSA.

Revenues from real estate jumped 73.6% to P11.9 billion, while net income from real estate grew 31.8% to P2.51 billion and consolidated net income increased by 38% to P2.7 billion for a net margin of 22%.

“We are highly gratified by the warm response that the market continues to give to SMDC’s products. Our homebuyers encourage all of us to work even harder to match their expectations or even exceed them in terms of quality, lifestyle and convenience," Henry T. Sy, Jr., SMDC vice chairman and chief executive officer, said, in a statement.
 
SMDC currently has 16 projects under construction and hopefully 5 more to be launched in the second half of the year.