Filinvest Land income dips as pandemic hits residential sales

Filinvest Land, Inc. (FLI) registered a 40% decline in attributable net income to P2.73 billion for the January-September period, as the pandemic’s impact on home sales continued to hurt its financial performance, it said in a press release on Friday.

Gross revenues declined by 32% to P12.54 billion in the nine months to September, but the company said it saw a 45% rise in residential revenues to P2.12 billion in the third quarter from the earlier three-month period.

“The marked improvement was brought about by the easing of lockdowns as well as consumer demand for this segment,” the real estate arm of Filinvest Development Corp. said.

It said the current figure was a turnaround from revenues logged in the second quarter, which was heavily affected by construction restrictions and the deferred customer payments as imposed by the government.

“Real estate revenues recovered in the third quarter as buyer amortization payments started to normalize and construction capacities increased,” said FLI President and Chief Executive Officer Josephine Gotianun Yap.

From July to September, mall rentals profits rose by 20% compared with the level in the second quarter as the country shifted to a more relaxed quarantine protocol.

“FLI’s mall operational tenants have gradually increased to 81% as more establishments have been allowed to open. FLI continues to grant rental concessions to its retail tenants to help them sustain their businesses,” the firm said.

The company said its focus would be on completing key office building projects such as the first phase of the Filinvest Innovation Park in New Clark City, the rollout of its Aspire and Futura mid- rise buildings, and residential developments across the country.

Its project portfolio includes large-scale townships such as Havila, Timberland Heights, Manna East, City di Mare and Palm Estates. It owns a 20% stake in Filinvest Alabang, the developer of Filinvest City.

FLI stocks on Friday declined 1.92% as it closed at P1.02 apiece. — Angelica Y. Yang

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Article and Photo originally posted by Business World last November 13, 2020, 10:45am.