SY-LED mall developer SM Prime Holdings, Inc. posted on Friday a double-digit profit growth for 2011 over the year previous, citing higher revenues from new outlets as well as lower operating expenses.

SM Prime said its consolidated net income grew by 15% to P9.10 billion in 2011 from P7.90 billion in  2010 due to expanded capacity from its new Philippine malls that opened in 2010 and 2011 as well as a same-store rental growth of 7%.

The profit growth is faster than the 12% hike seen in 2010.

Total revenues for the year, meanwhile, rose by 13% to P26.90 billion. Further, energy conservation methods that were implemented in SM malls also brought down the firm’s operating expenses, SM Prime noted in a statement.

‘SM Prime’s noteworthy performance in 2011, which was achieved in spite of tempered economic  progress, clearly shows that the business formula the company has adopted is resilient and built for sustainable growth,’ said Hans T. Sy, SM Prime president, said in the statement.

Further, energy conservation methods that were implemented in SM malls also brought down the firm’s operating expenses, SM Prime noted.

‘Now that there is better optimism on the country’s prospects, the company is even more eager to pursue its growth and expansion plans, as a fitting tribute to all our stakeholders, who we sincerely thank for loyally supporting us all through these years,’ Mr. Sy added.

The company’s latest financial statement was not readily available as of Friday afternoon.

For this year, SM Prime is set to open SM City Lanang in Davao City, SM City General Santos in  South Cotabato, SM City Consolacion in Cebu, SM City San Fernando in Pampanga, and SM Chongqing in China, bringing its mall portfolio to 46 Philippine malls and five China malls, with an estimated combined GFA of 6.3 million square meters.

These launches are expected to be funded by a P21-billion capital budget for 2012, which will be sourced from a mix of debt and internally generated funds, earlier reports showed.

Moving forward, SM Prime aims to sustain local and foreign mall expansions, with a plan to open three to four provincial malls every year, and one mall in China per year, the statement added.

In 2014, SM Prime is expected to open the 540,000 square-meter SM Tianjin, SM Prime’s largest mall yet.

SM Prime shares rose by 3.31% to P16.20 last Friday from P15.68 at its previous close. — F.J.G. de la Fuente