Cebu Landmasters, Inc. Reported P11.31 Billion in Revenues for H1-2024

Leading developer in VisMin Cebu Landmasters, Inc. (CLI) reported that the company’s first-half of the year (H1) revenue surged 24% to P11.31 billion from P9.15 billion (adjusted) in the same period last year driven by progress across all segments. This is driven by ongoing construction progress, substantial rise in hotel and leasing revenues, and an increase in new units qualifying for revenue recognition, as well as a one-off lot sale. 

CLI’s impressive topline growth during the first 6 months of the year translated into a 24% increase in Parent Net Income, rising from restated figures of P1.37 billion to P1.7 billion. 

"Cebu Landmasters is poised to sustain this growth trajectory over the next few years with more projects opening in the coming months and as we further expand to new market areas,” said CLI Chairman and CEO Jose Soberano III. 

CLI’s hotel revenue also surged with the addition of two new operating hotels in the first half of the year. Alongside the fully operational 180-room Citadines Cebu City, CLI opened lyf Cebu City (159 rooms) and The Pad Co-Living (156 rooms). Hotel revenue streams are anticipated to grow further with the opening of the 200-room Citadines Bacolod City, the biggest in Bacolod, and is now receiving Meetings, Incentives, Conference and Exhibitions (MICE) bookings.

The company’s leasing business also has a robust growth of 42%, driven by higher gross leasable area (GLA), now at 40,575 sqm. This growth followed the turnover of new retail areas such as the new wing of Base Line Center, 38 Park Avenue Retail, and Banilad High Street.

To further drive future financial growth, four new projects valued at P8.3 billion were also successfully launched by CLI in H1. These are Tower 6 of The East Village in Davao, Tower 5 of Casa Mira Towers Palawan, Casa Mira Homes Butuan, and Velmiro Heights Davao.

"There has been steady demand for our residential projects as shown by the fast market absorption of our newly launched developments. Demand continues to outweigh supply in the VisMin regions, with our projects selling out within days after market introduction, such as Velmiro Heights Davao, which fully sold out in practically less than two days after market introduction. This is a clear indicator that we are offering a compelling product priced competitively, for the right market," Soberano highlighted.

The successful new launches, coupled with sustained demand for CLI projects, resulted in P11.6 billion in reservation sales for the first half of the year, reflecting a 10% increase year-on-year. Notably, 48% of these sales originated from Davao projects, with 66% attributed to the company’s Garden Series targeting the mid-market. CLI achieved a commendable 94% sell-out rate across all projects at different development stages: 97% for completed projects, 94% for ongoing projects, and 81% for newly launched projects.

On April 12, CLI raised P4.28 billion through an oversubscribed preferred shares offering. To date, CLI has invested P6.76 billion in capital expenditures, with 67% allocated to project development and 19% to land acquisition. The company is currently finalizing negotiations for land acquisitions to support its strategic expansions into established and new markets.

Cebu Landmasters’ leasing business has a robust growth of 42% in the first half of the year compared to the same period last year, driven by higher gross leasable area (GLA) following the turnover of new areas such as 38 Park Avenue Retail.