SM Prime earnings up 18% in 2019

SM Prime grew its net income by 18 percent to P38.1 billion last year.

The company registered consolidated revenues of P118.3 billion last year, up 14 percent.

SM Prime president Jeffrey Lim said the company’s steady expansion significantly contributed to the growth.

“We look forward to 2020 as we strengthen our presence in more key areas in the Philippines through sustainable integrated property developments that have great potential to further contribute to the growth of the overall economy,” he said.

Among the different business segments, SM Prime’s mall business recorded an eight percent increase in revenue to P57.8 billion in 2019, driven by strong same-mall-sales growth across all mature malls.

SM Prime has 74 malls in the Philippines and seven malls in China.

The residential group, led by SM Development Corp. (SMDC), recorded a 24 percent revenue growth to P45.2 billion.

SMDC’s reservation sales likewise grew 24 percent to P90 billion.

Other business segments such as office space, commercial properties, hotels and convention centers also grew, registering combined revenues of P9.6 billion, 14 percent higher year on year.

“The commercial properties and the hotel and convention centers business segments’ growth is attributed to the full-year revenue contribution of ThreeE-Com Center, the opening of NU Mall of Asia (NUMA), as well as the opening of Park Inn by Radisson hotels in Iloilo and North EDSA, Quezon City,” SM Prime said.

In terms of office space, SM Prime now has 12 office buildings with a combined GFA of 695,000 square meters, eight hotels with over 1,900 rooms, four convention centers and three trade halls as of December 2019.

SM Prime plans to launch the first tower and podium of FourE-Com Center which will add more than 110,000 sqm. of GFA to its office portfolio.

It will also open one Park Inn by Radisson in Bacolod and expand the existing Park Inn by Radisson in Clark.

The company will also add more convention centers with the opening of SMX Clark and Olongapo City Convention Center slated this year.