FLI’s 2018 net income hits ₧6.08B on strong take-up of developments

PROPERTY developer Filinvest Land Inc. on Monday said its net income last year grew 4 percent to P6.08 billion from the previous year’s P5.83 billion as revenues rose due to the strong take-up of its developments.

The Gotianun-led company said revenues rose to P22.21 billion from the previous year’s P18.16 billion, as rental revenue grew 27 percent year-on-year to P5.61 billion.

FLI’s recurring income, or those revenues coming from shopping malls and office rentals, contributed 46 percent of the company’s net income in 2018, it said.

“Our outlook on the property sector remains positive, with our 37 percent year-on-year growth in reservation sales in 2018. We continue to focus on the more stable end-user market in the residential sector,” FLI President and CEO Josephine Gotianun-Yap said.

“We allocate significant resources toward growing our recurring rental-income business, which is on track to meet our target of contributing 50 percent of FLI’s net income. Our strategic CBD [central business district] land bank in Metro Manila, Cebu and Clark provide the platform for FLI’s strategic goal of doubling its leasable area by 2023,” she said.

As of end-2018, FLI operated 31 office and retail developments totaling 712,000 square meters of gross leasable area.

Yap said the company has a pipeline of 21 recurring income developments with half a million square meters of additional GLA currently under construction.

“FLI believes it is on track to attain its 1.6-million-square-meter GLA target by 2023,” it said.

The company’s office developments can be found mainly in Northgate Cyberzone-Filinvest City in Muntinlupa, other Metro Manila locations, Cebu City and Filinvest Mimosa Leisure City in Clarkfield in Pampanga.

FLI owns 20 percent of the 244-hectare Filinvest City in Alabang, Muntinupa, with its parent firm Filinvest Development Corp. (FDC) owning the remaining 80 percent.

It also owns Filinvest Gaia New Clark City (288 hectares), a mixed-use township with a major industrial and logistic zone and Filinvest Mimosa+ Leisure City (201 hectares), a leisure township development with residential, office and mall projects in partnership with FDC.

FLI handles the industrial, residential, office and mall projects while FDC handles the leisure and hospitality projects through its hotel arm.