LISTED SM Prime Holdings Inc., the largest mall developer and operator in the country, said 2009 profits rose by a tenth as the company opened new shopping centers while expanding existing ones.

In a filing with the local stock exchange, SM Prime said consolidated net income reached P 7 billion from the January to December period last year compared to P6.4 billion in 2008.

Revenues also grew by 15 percent to P20.5 billion in 2009. The results already include the operations of the three SM malls in China, located in the cities of Xiamen and Jinjiang in Southern China, and Chengdu in Central China.

“Due to the continued support and patronage of our customers, SM Prime again met its targets for 2009 despite the challenges brought about by the global recession and a series of natural calamities that affected most of Luzon in the latter part of the year,” SM Prime president Hans Sy said in a statement.

Meanwhile, cash flow, as measured using earnings before interest, taxes, depreciation and amortization or Ebitda, grew 14 percent to P14 billion translating to an Ebitda margin of 68 percent.

SM Prime said the growth last year was driven mainly by its expansion activities from its core mall business. Rental fees, which accounted for 86 percent of total revenues, reached P17.7 billion, or a 15-percent increase year-on-year

For full-year 2009, SM Prime opened SM City Naga in Camarines Sur, SM Center Las Piñas in Metro Manila, and SM City Rosario in Cavite. It also expanded SM City Rosales in Pangasinan, SM City Fairview, and SM North Edsa through its Sky Garden. The Sky Garden further reinforced the dominant position of SM North Edsa as it emerged as the largest mall in the Philippines.

Combined, the new malls and expansions in 2009 added 226,000 square meters (sqm) to the company’s total gross floor area (GFA), bringing it to 4.5 million sqm, for a 5-percent increase.

Operating expenses for full year 2009 increased 19 percent, to P9.7 billion, largely due to expenses related to mall expansion. Income from operations posted a 12-percent growth from P9.6 billion in 2008 to P10.8 billion in 2009.

For 2010, SM Prime plans to open SM City Novaliches in Quezon City; SM City Tarlac; SM Supercenter Masinag in Antipolo City, Rizal; and SM City Calamba and SM Supercenter San Pablo, both of which will be in the province of Laguna. SM Prime is also scheduled to open SM Suzhou in fourth quarter, its fourth mall in China, which is located in the province of Jiangsu. SM Suzhou will have a GFA of approximately 70,000 sqm.

The company has budgeted P12 billion for its capital spending program this year.

By the end of 2010, SM Prime will have 41 malls in the Philippines, of which 16 are in Metro Manila, and the others are spread out nationwide. The 41 malls will have an estimated combined GFA of 4.8 million sqm. by the end of the year.