Property giant SM Prime Holdings Inc. on Tuesday unveiled a plan to further expand the company in five years, to be fueled by some P400 billion in capital expenditures during the period.

This, the company said, will result in the doubling of its net income and revenue flows before the end of the decade.

SM Prime acknowledged this would require the management to focus on its shopping malls and high-rise residences.

The company said its hotel and leisure units, as well as its Chinese shopping mall venture, should still not contribute in any significant manner to the recurring income.

The company expects to double its profit and revenue flows by 2018 from its net income of P16.27 billion at the end of 2013 on the back of P32.2 billion in revenues.

Henry Sy Jr., SM Prime chairman, said the road map does not include opportunities that may arise such as expansion programs in overseas markets, mainly in Southeast Asia, and the multi-billion-peso reclamation project in Pasay City.

“For the next five years, we are leveraging to find other markets in Southeast Asia. There are a lot of opportunities. We are poised right now to go out of the Philippines shores,” Sy said.

The company, however, did not project how much market capitalization SM Prime will have by then from its current market capitalization of $9.6 billion, or about P425.63 billion.

Market capitalization tells investors and shareholders the value of the company they own and an indication of the potential for continued growth down the line.

Jeffrey Lim, the company’s chief finance officer, explained that by 2018, SM Prime’s market capitalization will grow further, with its business expanding by 10 percent over the period.  “This will enable us to grow and improve the economic condition of the communities that we are in,” Lim said.

According to the plan unveiled after its stockholders’ meeting, the company will increase its malls from the current 7 million square meters of gross floor area to about 11 million sq m by 2018.

This will translate to about 85 malls, 74 in the Philippines and 11 in China.

At the moment, SM has a total of 53 malls, 48 in the country and the rest in China.  For its residential projects, SM plans to more than double its launched units to 139,626 from the current 63,892 units. In five years, SM should have a total of 41 projects from the current 21 projects.

Its office venture, on the other hand, will only grow from the current 150,000 sq m to 460,000 sq m for a total of seven projects from three at present.

Its hotel will have 2,187 rooms for 10 projects or double of the current figure, while its leisure business will have eight projects or a total of 5,477 launched units from the current 4,988.

Some of the projects call for the trans-formation of its shopping malls into a mixed-used complex, such as those in SM North Edsa in Quezon City and also the transformation of SM Southmall in Las Piñas, both of which will now have a hotel component.

In Photo: SM Prime Holdings officials (from left) Hans Sy, president; Henry Sy Sr., chairman emeritus; Jose Cuisia Jr., vice chairman and independent director; and Herbert Sy, director, confer during the company’s stockholders’ meeting on Tuesday. (Nonie Reyes)