Megaworld income rebounds in third quarter, says 'optimistic' as economy reopens

ABS-CBN News

Posted at Nov 11 2020 10:50 AM

MANILA ‐ Property giant Megaworld said Wednesday its net income rebounded in the third quarter after two consecutive quarters of declines due to the lockdowns imposed to check the spread of COVID-19.

Megaworld said net income in the July to September period grew 7 percent to P2.2 billion from the previous quarter. Revenues also grew by 9 percent to P9.5-billion from P8.7-billion in the second quarter. 

However, net income in the January to September period was still down 40 percent at P8.1 billion, from the P13.7 billion recorded in the same period last year. Consolidated revenues also fell 30 percent year-on-year to P33.3 billion from P48.1 billion last year, the company said. 

The property developer said it was optimistic that business will continue to improve as the economy further reopens. 

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“We are seeing a lot of optimism now as we have begun the recovery of our mall business, and our office leasing business continues its growth,” said Megaworld chief strategy officer Kevin Tan.

The company said rental income grew 13 percent to P3.4 billion during the third quarter from P3 billion in the previous quarter as quarantine restrictions have been eased. 

“Megaworld Lifestyle Malls also more than doubled its revenues during the third quarter compared to the previous quarter as relaxed lockdown protocols allowed people to start shopping and dining in malls,” the firm said. 

Mall revenues rose 117 percent to P400-million in the third quarter compared to the previous quarter even as Megaworld Lifestyle Malls still offered rental discounts to its retail and merchant partners. 

The company’s hotel properties also recently reopened in Tagaytay and Boracay.