8990 profit down 16% in 2020

MANILA, Philippines — 8990 Holdings Inc., the listed mass housing company, reported a 16 percent decline in net income in 2020 to P4.8 billion.

Nonetheless, the company said this was still a respectable performance amid the challenges brought by the ongoing pandemic and various levels of community quarantines, “with fiscal year 2020 revenues dropping a mere eight percent to P14.2 billion.”

8990 Holdings chairman Mariano Martinez Jr. said this reflects the resilience of the country’s mass housing segment where the company is the leading player.

“The buyers of our units are mostly end-users, and we know that the country still has around five to six million housing backlog. This is why we continued to generate sales from supervisors and managers of various companies, as well as the spouses of overseas Filipino workers despite the effects of the pandemic,” Martinez said.

Real estate sales recorded a 5.5 percent drop to P14.17 billion last year.

The number of units sold during the year even exceeded the 2019 level by two percent, with 2020 sales hitting 12,178 units.

In terms of the number of units delivered, the company counted 9,951 homes delivered in 2020, with Luzon accounting for the largest revenue contribution with P9.07 billion of sales, followed by Visayas with P3 billion, and Mindanao with P2 billion.

In terms of units sold, Luzon still led sales, selling 5,267 units followed by Visayas with 2,735 units sold, and Mindanao with 1,949 units sold.

However, due to the restrictions caused by the lockdowns, housing production decreased by 32 percent to 9,669 units.

Article and Photo originally posted by Philippine Star last June 26, 2021 12:00am and written by Iris Gonzales.