Property developer and construction firm D.M. Wenceslao and Associates Inc. on Wednesday reported income last year coming in relatively flat at P2.1 billion from the previous year’s P2.07 billion, mainly as a result of the macroeconomic headwinds.
Core net income, which excludes Corporate Recovery and Tax Incentives for Enterprises or CREATE-related tax and other one-off gains arising from the termination of a joint venture agreement, grew at a faster pace of 13 percent, the company said.
Its rental revenues consisting of rentals from land, building, other revenues and parking fees improved nine percent to P2.2 billion, equal to 52 percent of total revenues and driven by increased take-up in the newly opened commercial buildings. Parking revenues increased significantly due to better mobility throughout the year, the company said.
“DMW’s business philosophy emphasizes the significance of remaining mindful of risks in the pursuit of growth opportunities. We kept our leverage ratios low with peso-denominated and fixed-rate debt that kept us insulated from forex fluctuations and the rise of interest rates. We also proactively locked-in favorable pricing for majority of construction materials at the outset of our projects, safeguarding our costs from the run-up in prices,” Delfin Angelo C. Wenceslao, company CEO, said.
Residential revenues more than doubled to P1.3 billion on the back of a higher number of units qualifying for revenue recognition and faster construction progress. In September last year, DMW topped off the fourth and final tower of MidPark.
