Syblings’ SM Prime posts 37% profit jump

The Sy siblings' (Syblings) SM Prime Holdings, Inc. (SM Prime), one of the leading integrated property developers in Southeast Asia, posted a 37 percent jump in net income to ₱30.1 billion in the first nine months of 2023 from the ₱22.0 billion earned in the same period last year.

In a disclosure to the Philippine Stock Exchange, the firm said that profit growth was supported by ₱92.6 billion in consolidated revenues, a 26 percent improvement from ₱73.7 billion in the comparative period last year.

Consolidated operating income increased by 29 percent to ₱44.5 billion in the first nine months of 2023 from ₱34.6 billion in the same period last year.

“Our strategic operations over the past months provided us remarkable results this quarter, which we expect to lead us to a stronger full-year performance,” SM Prime President Jeffrey Lim said.

He added that, “I would like to thank our customers and partners for their continued support that aim to deliver convenience and comfort to everyone.”

For the third quarter this year, SM Prime’s consolidated net income grew by 35 percent to ₱10.7 billion from ₱7.9 billion in the same period of 2022.

Consolidated revenues reached ₱32.7 billion, 20 percent higher than the ₱27.3 billion registered in the third quarter last year.

Consolidated operating income increased by 17 percent to ₱15.6 billion from ₱13.3 billion in the same period being reviewed.

SM Prime’s mall business, which accounts for 57 percent of the Company’s consolidated revenues, recorded ₱52.5 billion in the first three quarters of 2023, up by 37 percent from ₱38.2 billion in the same period last year.

Its mall rental income rose to ₱44.8 billion in the first nine months of 2023, 29 percent higher than last year’s ₱34.7 billion. SM Prime’s cinemas, event ticket sales, and other revenues more than doubled to ₱7.7 billion from ₱3.5 billion in the same period last year.

SM Prime’s primary residential business, led by SM Development Corp. (SMDC), reported ₱11.1 billion in revenues in the third quarter of 2023, 20 percent higher than ₱9.3 billion in the same period last year.

This makes primary residential business revenues up by 10 percent to ₱28.7 billion in the first nine months of 2023 from ₱26.1 billion in the same period of 2022.

SMDC’S reservation sales reached ₱89.3 billion in first three quarters of 2023, 6 percent higher than last year’s ₱83.9 billion.

SM Prime’s other key businesses, which include offices, hotels, and convention centers, generated ₱9.5 billion in revenues in the first nine months of 2023, a 33 percent growth from ₱7.2 billion in 2022.

The Company’s office business segment posted ₱4.9 billion in revenues, 14 percent higher than last year, while the hotels and convention centers business segment’s revenues reached ₱4.6 billion, 64 percent higher than the first nine months of 2022.