Filinvest Land, Inc. (FLI) reported a consolidated net income attributable to parent of P1.54 billion for the first half of 2024, an 11% increase from the previous year. Gross profit margins in the residential sector, FLI’s core business segment, improved by 8% to 51% from 43% the year before. Consolidated EBITDA rose 24% year-on-year to P4.98 billion, while operating income grew 26% to P4.18 billion.
Total consolidated revenues and other income increased by 16% year-on-year to P11.49 billion, driven by significant growth in residential real estate sales, as well as rising revenues from retail and The Crib co-living spaces in New Clark City.
Filinvest Land’s residential real estate sales increased 22% year-on-year to P7.38 billion. Completed developments in the first half of 2024 included the Bughaw building of Panglao Oasis in Taguig, near Bonifacio Global City, the Acacia and Banyan mid-rise buildings at Alta Spatial in Valenzuela, Metro Manila, and Building B of Marina Spatial in Dumaguete, Negros Oriental.
Reservation sales grew 16% to P12.84 billion. The company’s medium-rise condominiums and economic house-and-lot villages remained top contributors to sales, with new demand arising from a higher ceiling on the VAT-free segment.
In the first half of 2024, FLI launched 10 new projects with an estimated value of P14.70 billion. These projects include Celestia in Timberland, San Mateo, Rizal; Building C of Futura East in Cainta, Rizal; Phase 1A of Amarilyo Crest in Taytay, Rizal; New Leaf 2 in Trece Martires, Cavite; Building A of Sydney Oasis in Bacoor, Cavite; Phase 3 of Montebello subdivision in Calamba, Laguna; Building B of Futura Monte in Naga, Camarines Sur; Phase 1A of Futura Rise in Iloilo; Building A of Futura Shores in Dumaguete, Negros Oriental; and Building 7 of 8 Spatial in Davao City.
FLI is now over halfway towards its P25 billion target for new launches by the end of 2024.
Filinvest Land plans to focus on next-wave cities and fast-growing suburbs near underserved population centers such as Davao City and the CaLaBaR (Cavite, Laguna, Batangas, Rizal) region around Metro Manila, as well as Naga and Dumaguete, which the government has tagged as new IT-BPO hubs.
The company aims to enhance the value of new developments by integrating them into master-planned townships with retail, wellness, and transport amenities. FLI expects to launch Palm Estates in Talisay, Negros Occidental, and San Rafael Estates in Bulacan, among other townships by year-end.
Retail leasing revenues rose 9% year-on-year to P1.19 billion. New flagship Japanese brands and casual dining restaurants are set to open at Festival Mall in Alabang, FLI’s largest mall. Later this year, Filinvest Malls Dumaguete will open at Marina Town, a 1.9-hectare integrated township with a mall, offices, and three medium-rise condominiums. By 2025, a new mall at Filinvest Mimosa+ Leisure City is also expected to open, catering to both local and international customers. Net effective rents improved 4% to P819 per sqm, with occupancy rates at 69% as of June 2024.
FLI’s office portfolio, including Filinvest REIT Corp. (FILRT) and other subsidiaries, achieved P2.29 billion in leasing revenues, down slightly by less than 1% from the previous year. By June 2024, the office leasing segment had secured new leases for over 29,000 sqm and letters of intent for 32,000 sqm of leasable area. Additionally, signed renewal contracts reached over 45,000 sqm, with renewal letters of intent at over 15,000 sqm.
In June, FLI announced that its office business subsidiary, Filinvest Cyberparks, Inc. (FCI), won the bid for leasing over two hectares of office space at Filinvest Cyberzone Bay City in Pasay, Metro Manila, for the National Bureau of Investigation (NBI). The NBI will occupy nine floors with a total gross leasable area of 23,595 sqm, along with over 460 parking slots for its personnel and visitors.
“Our robust first half results show that Filinvest Land’s residential business continues to thrive. FLI delivered strong growth amidst the current interest rate environment. We achieved this through the continued strength of our brand, known for value-for-money homes in well-rounded communities across the Philippines,” said Tristan Las Marias, FLI President and Chief Executive Officer.
“FLI’s leasing segments continue to be value-adding complements to our business. We are working to enhance our shopping centers with world-class brands and to open new malls in underserved population hubs,” Las Marias added.