Megaworld net income up 43% in 2005

Business Mirror Mar 03, 2006 Megaworld net income up 43% in 2005 By Honey Madrilejos-Reyes Correspondent LISTED property developer Megaworld Corp. posted a net income of P1.15 billion in 2005, up 43 percent from P807.69 million the year before. Revenues, on the other hand, were pegged at P5.32 billion, up 19.3 percent year on year. In a statement, it said ongoing residential projects such as Eastwood Parkview, Grand Eastwood Palazzo and One Orchard Road in Eastwood City , Forbeswood Heights at the Bonifacio Global City in Taguig and Greenbelt Radissons and Greenbelt Parkplace in Makati contributed to the company's strong earnings performance. Another revenue driver was rental income, which climbed to P547.82 million from P454.65 million in 2004. Megaworld's flagship project Eastwood City accounted for bulk of the rental earnings, with its Cyber One office building and City Walk 2 leisure strip posting strong occupancy levels last year. Cash and cash equivalent balance, at P2.85 billion, was 6-percent higher year on year. Current ratio stood at 2.34:1. Total equity rose by 6-percent to P17.87 billion from P16.77 billion in 2004. "The company, with current assets amounting to almost P15 billion and a bank debt-to-equity ratio of 0.07:1, is in a strong liquidity position," the statement said. "This year, we expect our residential projects in Fort Bonifacio-Bellagio , Forbeswood Parklane and McKinley Hill Village and The Residential Resort at Newport City at Villamor Air Base in Pasay City , to be major sales drivers," it added. Bellagio and Forbeswood Parklane are part of the P15-billion Forbes Town Center at the Global City . McKinley Hill Village , which offers fast-selling subdivision lots to a high-end market, is the first residential phase of Megaworld's 50-hectare McKinley Hill mixed-use project in Fort Bonifacio . The Residential Resort, meanwhile, is a low-density, 3.7-hectare community close to the Villamor golf course.