CLI net income up 27% to P1.22B in first 9 mos

Cebu Landmasters Inc. (CLI) saw its net income surge 27% in the first nine months of 2018, boosted by its residential developments in Cebu.

In a disclosure to the Philippine Stock Exchange yesterday, the listed property firm reported a P1.22-billion net profit from P959.8 million last year.

The company is looking towards diversifying income sources in the future as it plans to enter the industrial park development.

CLI expects to soon meet compliance requirements for its planned reclamation of the 100-hectare Ming-Mori Techno Business Park in Minglanilla, Cebu.

Consolidated revenues for the period hit P3.7 billion, up by 33% from P2.8 million last year.

Shares of the company opened at P4.27 apiece yesterday, down 0.70%.

The Cebu-based company attributed the strong performance to robust sales and the construction progress of its residential developments mostly in Cebu and Cagayan de Oro City, catering to mid-income earners, overseas Filipino workers and other segments.

CLI chairman and CEO Jose Soberano III said: “Our numbers do not yet reflect projects funded by the P2-billion investment Cebu Landmasters received following our initial public offering. Once these projects start contributing to our revenues, we expect CLI’s performance to achieve new levels.”

Two of the Cebu projects carrying its economic housing brand Casa Mira, the mid-range MesaVerte Residences in CDO and the mixed-use development Base Line Center in Cebu City were launched prior to the company’s public listing in 2017.

The developer's growth has also been booster by newly launched high-end projects and new Casa Mira sites that accounted for a record breaking sales take-up of P6.17 billion, up 69% from last year.

CLI also noted a 15% rise in its leasing income to P36.2 million from P31.4 million due to higher occupancy and modest rate increases.

Soberano said future growth would come from more diversified income sources including estate development and an industrial park.

The company will launch this month the 22-hectare Davao Global Township envisioned to be Mindanao’s premier business district in the medium term.

“We will sustain growth by aggressively addressing the needs of underserved markets in VisMin," the CEO said.

Currently, CLI has 55 projects in different stages of development in Cebu, Mandaue, Davao, CDO, Dumaguete, Bacolod, Iloilo and Bohol.

Early this year, the company projected revenues of P5.3 billion and a net income of P1.7 billion. — Carlo S.