D.M. Wenceslao & Associates, Inc. reported a 42 percent surge in net income to P969.8 million in the first half of the year due to the strong growth in its core leasing business and the successful addition of an investment property to its portfolio.
In a disclosure to the Philippine Stock Exchange, the firm said revenues amounted to P1.2 billion with recurring income contribution reaching 80 percent–primarily due to completion of a new office building.
Rentals of land grew 5 percent to P482.2 million while rentals of buildings and other revenues related to leasing expanded 70 percent to P351.9 million and P127.9 million, respectively.
Residential unit sales increased 6 percent to P119.5 million and construction revenue rose 19 percent to P114.5 million.
“Strong execution from our marketing, and construction teams is accelerating momentum across our businesses,” noted DMW Chief Executive Officer Delfin Angelo C. Wenceslao.
He added that, “we have completed our third commercial office building ahead of schedule and within budget. This early delivery added over 30,000 sq.m. of leasable gross floor area which was fully leased out as of the end of 2017.”
During the first half of 2018, construction started on 8912 Asean Ave. (formerly known as Aseana Four), an office building due for completion in 2021. With 68,980 sq.m. of leasable gross floor area, 8912 Asean Ave. is the Company’s largest office project to date.
Construction remains on track for residential condominium project Pixel Residences which is expected to be completed by 2019.
“We have a clear set of strategies centered around portfolio expansion through a combination of land and commercial leasing and residential sales growth,” Wenceslao said.