VILLAR-LED integrated property developer Vista Land & Lifescapes Inc. (VLL) saw its net income in the first nine months of 2024 climb 10.2 percent to P9.1 billion, mainly on strong sales from residential projects outside the National Capital Region (NCR) and coupled with higher rental income.
Consolidated revenues for the period grew 7 percent to P29.1 billion, benefiting from the launch of new projects with a total value of P32.6 billion.
Real estate revenues were said to have jumped 12 percent to P13.6 billion, rental income reached P12.4 billion, and gross profit hit P9 billion.
“Our performance so far reflects our commitment to our set strategy of asset maximization and optimization as we capitalized on the strong demand from residential projects specifically outside Metro Manila, where we have the widest coverage,” VLL Chairman Manuel B. Villar Jr. said.
“Our presence in 147 cities and municipalities across the country became apparent when we saw softening demand in Metro Manila due to the effect of the POGO (Philippine offshore gaming operator) ban,” he said, also noting that demand continues to rise in provincial areas.
President Ferdinand Marcos Jr. issued Executive Order (EO) 74 earlier this month ordering the immediate ban of POGOs in the country. This comes after his July directive ordering all POGOs to leave the Philippines by the end of year amid illegal activities linked to the industry.
Villar, the country’s richest individual and a former Senate president, said that establishing Vista Estate projects nationwide had helped VLL’s reservation sales to hit P58.4 billion as of end-September.
VLL’s commercial portfolio currently spans a gross floor area of 1.6 million square meters (sqm) across 42 malls, 59 commercial centers, and seven office buildings.
“Vista Land is reinforcing its position in both the residential and commercial sectors,” VLL President Manuel Paolo Villar said, adding that as foot traffic returns to pre-pandemic levels, “we anticipate that we will see more in the coming holiday season.”
Last July, VLL raised $350 million via a dollar note issue due 2029. Proceeds were used to refinance its dollar bonds maturing in November 2024, effectively eliminating refinancing risk for the year.
“What we will be looking at next year is a liability management exercise for our dollar notes maturing in 2027,” the VLL president noted.
Capital expenditure in the period reached P21.2 billion, or 71 percent of the full-year budget, with 70 percent going to project construction, 28 percent to land development, and 2.0 percent to land acquisition.
Last week, VLL declared a cash dividend of P0.1120 per share, payable on Dec. 12 to shareholders on record as of Nov. 28, 2024. VLL said that next year, it plans to resume its dividend policy of 20 percent of the prior year’s net income.
The company’s shares closed up 2.47 percent at P1.66 apiece last Friday.
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