Robinsons Land Corporation Reported P4.07 Billion in Net Income in Q12024, Up 53%

Robinsons Land Corporation (RLC) posted a P4.07 billion profit in the first quarter, driven by solid performances across all business units. Net income attributable to parent soared by 53% year-on-year for the period ended March 31, 2024. Excluding the one-time gain on the reclassification of its GoTyme investment, net income to the parent reached P3.34 billion, still up by 21% year-on-year. Consolidated revenues also saw 19% growth to P11.03 billion compared to the same period last year.

RLC's investment portfolio recorded strong double-digit topline growth in the first three months of 2024. Led by malls and hotel businesses, revenues jumped 17% versus the same period last year to P7.90 billion, which accounted for 72% of the consolidated revenues.

Its property development portfolio, on the other hand, generated P3.13 billion in realized revenues in the first quarter of 2024. This resulted in a year-on-year growth of 25%, driven by higher revenue recognition from RLC Residences and earnings from equity shares in Joint Venture projects.

RLC maintained its financial stability with cash and cash equivalents of P7.67 billion and a net gearing ratio of 34% as of March 31, 2024. Total assets stood at P242 billion, while Shareholders' Equity ended at P145 billion, propelling its book value to P28.83 per share.

"Our remarkable first-quarter results following a record-breaking year is a testament to the successful execution of our strategic initiatives. Bolstered by our robust fundamentals and strong balance sheet, we remain steadfast in our pursuit toward sustained growth and innovative strategies," said RLC Chairman, President and CEO Lance Gokongwei.
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Higher occupancy from both existing and new malls and sustained consumer spending pushed Robinsons Malls' revenues up by 14% year-on-year to P4.45 billion, accounting for 41% of consolidated revenues. EBITDA rose 19% to P2.73 billion, while EBIT rose by 33% to P1.91 billion year-on-year. Meanwhile, rental revenues soared by 15% to P3.19 billion.

Total mall leasable space currently stands at 1.62 million square meters with over 8,400 retailers and a 93% system-wide occupancy rate.

Robinsons Offices delivered a steady topline result with a 3% increase in revenues to P1.90 billion in the first quarter of 2024. This stable performance is primarily driven by steady rental growth in the majority of its high-quality office developments. EBITDA and EBIT registered P1.51 billion and P1.22 billion, respectively.
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The company's office portfolio consists of 32 office buildings with 793,000 sqm of gross leasable space, with the completion of GBF Center 1, located at Bridgetowne Estate. Fifteen (15) of its office assets have been infused into RLC's flagship real estate investment trust, RL Commercial REIT, Inc. (RCR).

Robinsons Hotels and Resorts (RHR) continues its positive trajectory with tremendous growth realized across all brands, despite an elevated base last year. In the first quarter alone, revenues surged by 54% to P1.35 billion, driven by solid performance across all segments. Additionally, both EBITDA and EBIT experienced significant increases, soaring by 140% and 770% to P402 million and P202 million, respectively.

The company's hotel portfolio consists of 26 hotel facilities and 4 franchisees.
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In the first quarter of 2024, Robinsons Logistics and Industrial Facilities (RLX) year-on-year revenues jumped by 40%, reaching P192 million. EBITDA is at P174 million, marking a 34% increase, while EBIT accelerated by an impressive 37% to P134 million. RLX's expanding portfolio now includes ten (10) industrial facilities strategically located in Sucat, Muntinlupa, the Sierra Valley in Cainta, San Fernando, and Mexico in Pampanga, as well as Calamba, Laguna.

The latest addition, RLX Sierra 2, situated within RLC's premier destination estate, Sierra Valley, offers 17,000 square meters of gross leasable space, further enhancing the capacity to serve its clients.
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Meanwhile, Robinsons Destination Estate (RDE) recorded property development revenues of P252 million for the first three months of the year from the deferred sale of parcels of land to joint venture entities. EBITDA and EBIT reached P149 million and P148 million, respectively.

The Residential Division registered a 20% year-on-year increase in realized revenues, reaching P2.84 billion. Year-on-year EBITDA and EBIT soared by 44% and 45% to P1.17 billion and P1.15 billion, respectively. Earnings from the equity share in joint venture projects reached P487 million, reflecting a substantial 66% year-on-year growth.
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In order to optimize synergies and maximize cost efficiencies, it merged the operations of RLC Residences and Robinsons Homes. These business units have been consolidated under the brand of RLC Residences.

For the first quarter of 2024, RLC Residences net sales take-up is P684 million, while the joint ventures net sales take-up is P3.81 billion.

RLC is dedicated to driving shareholder value by consistently delivering regular cash dividends and returning a significant amount of capital to shareholders.

The Board of RLC has approved the distribution of over P3.15 billion in regular cash dividends, equivalent to P0.65 per outstanding common share. This marks the highest declared cash dividend per share in the company's history. The record date is May 31, 2024, and entitled shareholders will receive their dividends on June 21, 2024.
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During the first three months of 2023, RLC allocated P3.75 billion towards capital expenditures. These investments were directed towards the development of malls, offices, hotels, and warehouse facilities, as well as land acquisitions and the construction of residential projects to bolster its local operations.

Currently, RLC has over 800 hectares of land nationwide. The company continues to be on the lookout for properties to acquire for the expansion of its various businesses. It remains open to joint venture projects with property owners and developers.