Robinsons Land profit edges up on leasing growth

ROBINSONS LAND CORP. (RLC) posted a slight increase in first-quarter attributable net income, supported by steady growth in its leasing business and a rebound in residential project activity.

In a statement on Monday, the property developer said attributable net income rose 1.7% to P3.54 billion for January to March from a year earlier.

Consolidated net income increased 9% to P4.4 billion, while revenue climbed 11.3% to P12.28 billion.

“Our performance is a validation of being intentional early on, transitioning our portfolio towards more recurring income and building deep cash reserves — establishing a robust financial cushion as a cornerstone of our risk management strategy,” Robinsons Land President and Chief Executive Officer Mybelle V. Aragon-GoBio said.

“RLC remains steadfast in its ability to sustain earnings momentum, backed by a diversified, high-quality portfolio and an enduring commitment to financial discipline,” she added.

The company’s investment portfolio remained its biggest earnings contributor, generating P9.2 billion in revenue during the quarter, up 8% from a year earlier. Earnings before interest, taxes, depreciation and amortization (EBITDA) from the segment rose 4% to P5.6 billion.

Mall revenue increased 7% to P5.1 billion, while office revenue rose 8% to P2.2 billion.

Hotel revenue posted the fastest growth among the leasing segments, climbing 14% to P1.7 billion, driven mainly by international hotel brands and the company’s NUSTAR Resort and casino properties.

The logistics segment was mostly flat, posting revenue of P269 million.

Robinsons Land’s development business expanded during the quarter, with revenue rising 22% to P3.1 billion.

Residential revenue jumped 39% to P2.7 billion as construction activity and revenue recognition accelerated. Net sales reached P3.74 billion, consisting of P455 million from organic projects and P3.29 billion from joint ventures.

Meanwhile, contributions from joint ventures and destination estates declined because of lower inventory and project timing.

Equity earnings from joint ventures fell 46% to P181 million, while destination estate revenue dropped 28% to P161 million.

Capital expenditures slightly increased to P3.25 billion from P3.23 billion a year ago.

Robinsons Land said it is on track to meet its long-term targets, citing its diversified portfolio and strong financial position.

Shares of the company rose 3.35% to P17.88 each on the Philippine Stock Exchange. — Alexandria Grace C. Magno