Megaworld Corp. saw its first quarter net income increase by 16 percent increase to P5.83 billion driven by solid performances across its core residential, leasing, and hotel operations.
Consolidated revenues rose by 11 percent year-on-year to P20.93 billion, Megaworld said in a disclosure to the stock exchange Wednesday.
“This strong start to the year is a reflection of our clear strategy and the strength of our diversified portfolio. All of our core businesses – residential, office, malls, and hotels – grew during the first quarter. More than half of our township developments are in the provinces, and the opportunity for expansion and growth is there,” said Megaworld president Lourdes Gutierrez-Alfonso.
Real estate sales remained a major income driver, increasing by 8 percent to P13.09 billion.
This was supported by strong sales in Metro Manila and key provincial areas, as well as steady construction progress across projects.
Leasing revenues rose by 15 percent to P5.34 billion, as demand from high-value tenants continued.
The company’s office spaces and retail centers remained attractive to BPOs, multinational firms, and lifestyle brands.
Megaworld office group saw a 17 percent increase in revenues to P3.69 billion, with over 50,000 square meters of new office leases signed during the quarter.
The mall business generated P1.66 billion in sales, up 11 percent, driven by higher foot traffic, strong consumer spending, and the addition of 13,000 square meters in new tenants.
Megaworld hotels and resorts posted the fastest growth, with a 27 percent increase in revenues to P1.43 billion.
This was supported by higher room rates, hotel packages, and promotions that drew both business and leisure guests.
“Megaworld remains to be the top contributor to the revenue pie of the Alliance Global Group. This quarter’s results affirm the strength of the company’s township model, which thrives because of the unique connections it fosters between people, businesses, and experiences,” said Alliance Global Group Inc. (AGI) president and chief executive Kevin Tan.
Megaworld has a land bank covering around 7,000 hectares as of end-March 2025.
Moving forward, Megaworld aims to expand its office leasing space to 2 million square meters and retail space to 1 million square meters by 2030, targeting a total leasing portfolio of 3 million square meters.
Meanwhile, AGI, the parent company of Megaworld announced plans to raise P26.7 billion from issuance of warrants to raise fresh capital.
AGI said in a disclosure to the stock exchange its board approved the issuance of warrants covering up to 2.225 billion underlying shares exercisable to P12 per share.
The company said the warrant offer will allow stockholders to maintain their ownership levels. Funds raised will be used for capital spending, debt repayment, general operations, and related costs.
