DMCI Homes reservation sales target on track

DMCI Homes is growing its land bank on plans to expand in key cities outside of Metro Manila

The housing arm of conglomerate DMCI Holdings Inc., DMCI Homes, is bullish on reaching its full year reservation sales target of P38 billion after hitting P20 billion worth of reservation sales in the first semester.

The Consunji-led developer booked P23.01 billion in reservation sales in the same period last year. DMCI Homes is leveraging on its projectsinQuezon City to meet its target — The Crestmont condominium and the Cameron Residences — two projects it launched in the first half.

The projects had a total sales value of P10 billion at P6 billion and P4 billion, respectively.

“We exceeded our first half target and expect further boost from our second half launches. Quezon City is a strong market because of the ongoing infrastructure projects in the area,” DMCI Homes president Alfredo Austria said.

“Once the Skyway Stage 3 and MRT-7 become operational, residents will enjoy unprecedented connectivity and mobility.”

The quadruple A developer said the Quezon City projects were launched following the strong client demand for its preceding projects in the city: Infina Towers, The Orabella and The Celandine.

DMCI Homes is also slated to launch residential condominiums projects in the cities of Pasig, Las Piñas, Mandaluyong, Davao and Cebu this year.

The company earlier on said it is earmarking P17.9 billion in capital expenditures, 23 percent higher from P1.5 billion last year, as it expects to launch 10 real estate projects valued at P104 billion this year. This will increase DMCI Homes’ number of units from 3,000 to 19,000 this year.

DMCI Homes booked 34 percent lower net earnings in the first half of the year, or to P1.23 billion from P1.88 billion in the same period in 2018 due to the lack of non-recurring gains.

Without considering a one-time gain from the sale of land worth P715 million in the comparative year, DMCI Homes’ core net income was up six percent at P1.23 billion from P1.16 billion last year.

In an earlier news briefing, Austria said that while the company’s sales have been stable, it expects either lower or flat revenues this year as it awaits revenue recognition from projects launched in the previous years.

DMCI Homes is growing its land bank on plans to expand in key cities outside of Metro Manila. It ended March with 150 hectares of land bank with a total land value of P10.2 billion, higher from the 125 hectares it had under its name in the same month in 2018.