Sta Lucia nets P1.4B in H1

Sta Lucia Land Inc. (SLI), the listed property developer, posted a net income of P1.438 billion in the first half of the year from P757 million a year ago, due to an increase in revenue and savings from taxes due to the CREATE Law.

Revenues increased by 63 percent to P3.9 billion from P2.4 billion a year ago.

SLI’s mall income increased by 21 percent to P273 million from P225 million as quarantined conditions eased during the period.

The company’s residential lot sales also remain strong, said SLI EVP and CFO David Dela Cruz.

“Improvement in our financial results was driven basically by sales of residential lots  which has shown resilience during the pandemic,” Dela Cruz said.

Majority of the projects are in the fringes or in the outskirts of the central business districts and major growth centers.

Dela Cruz said there is growing preference for residential lots as they have become more practical as they offer bigger spaces, more affordable pricing and seen as ultimate beneficiaries of the government’s aggressive infrastructure program which aims to interconnect the entire country.

SLI’s total assets increased by 26 percent due to the temporary increase in cash as the company raised new long term debt to refinance its more expensive liabilities. 

Total equity, meanwhile increased by 13 percent as the company continues to plow back earnings to finance its growth plans.

In all, SLI has a total of 115 ongoing projects, 60 or 51 percent of which are located in the high growth area of CALABARZON. It also has 25 projects in Davao while the rest are spread out in seven other regions.

The company has earlier filed an application for a follow-on offering of up to three billion common shares at an offer price of P2.38 to P3.29 per share. 

At 2.5 billion, the share sale could raise anywhere from P5.95 billion to P8.2 billion while at 3 billion shares, the share sale could raise P7.14 billion to P9.87 billion.

Net proceeds from the offer will be used to partially fund the company’s capital expenditures for ongoing projects, strategic land banking, payment of short-term debts, and for general corporate purposes, according to the registration statement.

The company is eyeing to list on September 28, 2021 after determining the price on September 10 and after the offer period from September 15 to 21, 2021.

SLI, controlled by the Robles and Santos families, has different projects nationwide including Sotogrande Fairview and Acropolis Loyola in Quezon City; Orchard Towers in Pasig City Green Peak Heights Phase 3, Rizal echnopark,and Sta. Lucia Residences Towers in Rizal; Aquamira at Saddle and Rockville in Cavite;  Golden Meadows Phase 2D in Laguna; Ponte Verde de Sto. Tomas and Yanarra Seaside Residences in Batangas; Colinas Verdes Expansion in Bulacan; and the Woodside Garden Village in Pangasinan. There are also projects in Iloilo, Cebu and Davao.