SM Prime’s Net Income Reported PHP21.8 Billion in 2021
(21 February 2022, Pasay City, Philippines) SM Prime Holdings, Inc. (SM Prime), one of the leading integrated property developers in Southeast Asia, reported a PHP6.2 billion consolidated net income in the fourth quarter of 2021. The Company’s consolidated revenues registered PHP25.5 billion, which is 20% higher from PHP21.2 billion in the same period being reviewed. Likewise, consolidated operating income increased by 67% to PHP10.8 billion in the fourth quarter of 2021 from PHP6.5 billion in 2020.
SM Prime’s consolidated net income grew by 21% at PHP21.8 billion in 2021 from PHP18.0 billion in 2020. This is on the back of the Company’s consolidated revenues of PHP82.3 billion in 2021, which is at the same level as 2020. Consolidated operating income likewise increased by 11% to PHP32.4 billion in 2021, from PHP29.1 billion in 2020.
“As we begin to see the result of joint effort by the government and private organizations to manage the pandemic, SM Prime is set to pursue business expansions with broader funding options available locally and internationally. We will continue to work with the government in helping the nation rebound form the challenges in the past two years,” said Jeffrey C. Lim, SM Prime president.
Recovery in the Horizon
SM Prime’s residential business unit, led by SM Development Corp. (SMDC), recorded PHP45.9 billion revenues. SMDC’s sales take-up reached PHP98.9 billion in 2021.
SMDC launched eight new high-rise and mid-rise condominium buildings as well as house and lot residential projects across the country in 2021. These consist of Sands Residences in Manila City, Ice Tower in Pasay City, Gold Residences in Parañaque, Twin Residences in Las Piñas, Joy Residences in Baliuag, Bulacan, Cheerful Homes 2 in Mabalacat, Pampanga, Calm Residences in Sta. Rosa, Laguna and Glade Residences in Jaro, Iloilo.
With the convergence of residential and commercial establishments in one area, SMDC continues to fulfill its mission of providing world-class urban living, which remains a top choice for home and investment opportunity among many Filipinos.
Meanwhile, with the further easing of mobility restrictions in most key areas in the Philippines including Metro Manila beginning November 2021, SM Prime’s Philippine mall business reported PHP24.1 billion total revenues in 2021, higher compared to PHP23.6 billion in 2020. Local malls’ rent income improved by 6% to PHP23.0 billion in 2021 from PHP21.8 billion in 2020, in spite of the three-month pre-pandemic comparable period in 2020 and two enhance community quarantine (ECQ) restrictions implemented in 2021.
With the improving COVID-19 situation in country in the last quarter of 2021, SM Prime launched two new malls namely SM City Daet in Camarines Norte and SM City Grand Central in Caloocan City. SM Prime also opened MOA Square, the commercial space beside the SM Mall of Asia which houses the first IKEA store in the Philippines and the biggest IKEA in the world.
In China, SM Prime’s international mall business reported a 20% increase in revenues at RMB0.8 billion in 2021 from RMB0.7 billion in 2020. SM Prime China malls’ net income grew by 154% to RMB0.2 billion from RMB0.1 billion of the same period being reviewed. The increase was due to quick return to normalcy in China after the spread of the COVID-19 virus in the first quarter of 2020.
SM Prime’s other businesses, which include offices, hotels, and convention centers, remain resilient in the previous year reporting PHP6.6 billion consolidated revenues in 2021, 4% higher from 2020. The commercial properties business segment recorded PHP5.0 billion revenues in 2021, 5% higher from the previous year, while the hotels and convention centers business segment generated PHP1.6 billion revenues. The Company opened Park Inn by Radisson – Bacolod in the last quarter of 2021.
SM Prime remains committed to being a catalyst for economic growth by delivering innovative and sustainable lifestyle cities, thereby enriching the quality of life for millions of people.
For further information, please contact:
Vice President, Investor Relations
SM Prime Holdings, Inc.
Tel. no.: +632 8862 7940