Sy-led SM Prime Holdings, Inc. reported a record-high net income of P24.5 billion in the first half of the year, an 11 percent increase from P22.1 billion a year ago, driven by sustained momentum in mall rentals, real estate sales, and consumer-led businesses.

The company said on Monday that consolidated revenues rose 5 percent to P68 billion from P64.7 billion.

Rental income from malls, offices, hospitality, and MICE accounted for 60 percent of the total, while real estate sales made up 29 percent. The remaining 11 percent came from cinema ticket sales, food and beverage, amusement, and related offerings.

EBITDA for the period grew 10 percent to P41.6 billion from P37.9 billion, while operating income increased 11 percent to P34.4 billion from P31.1 billion.

“The redevelopment and new attractions at our flagship Mall of Asia drove strong foot traffic and tenant sales. Robust consumer activity and improving business confidence also lifted contributions across our portfolio,” SM Prime President Jeffrey C. Lim said.

Malls remained the top contributor to earnings, accounting for 69 percent or P17 billion, up 14 percent year-on-year, driven by new mall openings, higher foot traffic, and strong occupancy.

Residential income rose 2 percent to P5.1 billion from P5.0 billion, accounting for 21 percent of total earnings. The segment benefited from revenue recognition of completed units and prior-year sales.

The office and warehouse business contributed 7 percent, with earnings rising 9 percent to P1.7 billion from P1.6 billion due to improved warehouse occupancy.

Hotels and convention centers contributed P635 million, or 3 percent of total income, up 20 percent from P527 million on the back of strong room bookings and a busy MICE calendar.

“Our results underscore the resilience of our businesses and the strength of our diversified portfolio. With our capex program progressing as planned, we are well-positioned to drive long-term growth across key markets,” Lim said. 

SM Prime is betting on a buoyant second half, as robust consumer spending, easing interest rates, and a steady rebound in retail and tourism continue to fuel demand across its businesses.

With inflation in check and monetary policy loosening, the company sees brighter consumer sentiment powering growth. It said its P100 billion capital expenditure program remains on track to support high-impact developments that will deliver long-term value.