RLC bares 20% hike in FY net profit at P5.7B | mb.com.ph | Philippine News
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RLC bares 20% hike in FY net profit at P5.7B

Robinsons Land Corporation reported a 20 percent hike in audited consolidated net income for the fiscal year ended September 30, 2015 to P5.70 billion from 4.73 billion in the previous fiscal year.

In a disclosure to the Philippine Stock Exchange, the firm said revenues increased by 16 percent to P19.73 billion in FY2015 from R17.05 billion in FY2014.

RLC said its higher revenues came on the back of “the double digit growth of all our business segments led by office buildings, residential, hotels and commercial centers divisions.”

Real estate cost went up by 11 percent to P7.84 billion mainly due to higher depreciation due to new malls, new office buildings and new cinemas in new malls. Hotel expenses rose by 10 percent to P1.29 billion mainly due to newly opened hotels.

General and administrative expenses went up by 19 percent to P3.05 billion due to higher commission expense, salaries, advertising and promotions and rent expense, among others.

As a result, EBITDA rose by 19 percent to P10.70 billion while EBIT by 21 percent to P7.55 billion in FY2015.

“Our balanced mix of investment and development components ensures RLC of stable recurring revenue,” the firm said.

RLC’s investment portfolio, comprised by its commercial centers, offices and hotels divisions, accounted for 66 percent of the total company’s revenues and 83 percent of the total company’s EBITDA.

Its development portfolio, comprised by its four residential brands, accounted for 34 percent of the total company’s revenues and 17 percent of total EBITDA.

RLC’s Commercial Centers division posted a 13 percent revenue growth to P9.12 billion in FY2015 from P8.10 billion in FY2014. The newly opened malls in 2014 and 2015 contributed to the increase in revenues.

Lease income from RLC’s office buildings posted the highest growth of 45 percent in FY2015 to P2.24 billion from P1.54 billion in FY2014 due to new office buildings which are fully leased out.

RLC’s Hotels division registered revenues of P1.75 billion for the period, posting a 14 percent increase compared to the same period last year while RLC’s Residential Division realized revenues of P6.62 billion in FY2015 from P5.87 billion in FY2014, an increase of 13 percent due to higher level of buyers meeting the equity requirement.