Global-Estate Resorts Inc. (GERI), a unit of property developer Megaworld Corp., said it posted an income of P1.48 billion for 2020, a 22-percent fall from the previous year’s P1.9 billion, as pandemic-related restrictions slashed its revenues.
Excluding non-recurring gains of P188.5 million in 2019, GERI’s net income in 2020 reached P1.3 billion, a much deeper fall of 25 percent compared to last year’s figure, the company said.
Revenues fell 38 percent to P5.2 billion from the previous year’s P8.45 billion.
Revenues from the company’s leasing operations were down 17 percent to P619 million from the previous year’s P747 million, while the company’s commercial business was also affected due to the pandemic-related restrictions.
Hotel revenues declined 75 percent to P201 million in 2020 from P814 million in the previous year as a result of prevailing travel restrictions.
“Since most of our developments are in the countryside, and the demand is evidently there, we are optimistic that we will recover faster once the economy fully reopens soon,” Monica T. Salomon, the company’s president, said.
“So many people realized that living outside the busy metropolis is a wise decision to make during this time. Even our Alabang West property, which is still within Metro Manila, but already towards Cavite, sold more than a billion [pesos] worth of lots in the middle of the lockdown. Demand for our residential properties in the provincial areas certainly boosted our revenues, offsetting the downtrend of our leasing businesses, which, just like our peers in the industry, have been affected by this pandemic.”
The company said it sold residential projects worth almost P12 billion in its various developments in Boracay, Antipolo, Cavite, Laguna and Batangas.
In Boracay Newcoast, the company sold projects worth P4.22 billion last year, particularly the Newcoast Village lots as well as commercial lots inside the 150-hectare estate despite the pandemic that hit tourism locations, such as Boracay Island.
Residential lots worth around P2.17 billion were also sold in Eastland Heights, the company’s 640-hectare community in Antipolo that is surrounded with forests and a golf course.
Residential houses and lots worth around P1.5 billion have been been sold in Arden Botanical Estate, a 250-hectare integrated community at the boundary of Tanza and Trece Martires in Cavite. The company also sold residential condominium units and village lots worth some P1.4 billion in the 561-hectare Southwoods City in Biñan, Laguna, and residential lots and condominium units worth P1.17 billion in the 1,200-hectare Twin Lakes in Laurel, Batangas.