SM Prime posts P6.5 B income in Q1

SM Prime Holdings Inc. reported a net income of P6.5 billion in the first quarter, down 23 percent from the same period last year.

On a quater on quarter basis, earnings were up 80 percent from P3.6 billion.

Revenue was P20.8 billion, almost the same as the previous quarter.

SM Prime president Jeffrey Lim said the reopening of many businesses and increased mobility of people helped the company post a slight recovery.

“We welcomed 2021 with high hopes as most areas in the Philippines, including Metro Manila, were placed under general community quarantine in the first quarter of 2021. Along with the sustained growth of our residential business, our mall affiliates, together with many of our SME-partners were able to reopen their shops, allowing our mall business segment to perform better,” Lim said.

Prime’s residential business, led by SM Development Corp. (SMDC), reported a five percent revenue growth to P11.9 billion during the quarter.

The residential segment accounted for 57 percent of the company’s consolidated revenues.

SMDC’s reservation sales surged by 31 percent to P32.4 billion.

SM Prime’s local mall business registered P5.9 billion in revenues, accounting for 28 percent of the consolidated revenues. The figure is 10 percent higher than the previous quarter’s P5.3 billion.

“The growth is due to the increase of operating mall tenants, which drove mall rental income up by 14 percent to P5.6 billion.

SM Prime’s other business segments, which include offices and hotels and convention centers, contributed P1.6 billion to the company’s consolidated revenues, accounting for seven percent of the total revenues.