8990 Holdings eyes higher revenues

8990 has built thousands of Deca Homes throughout the Philippines. (OLX photo)

MANILA — Mass housing developer 8990 Holdings Inc. targets a revenue growth of about 14 percent this year to at least PHP11.5 billion, emboldened by a strong first-quarter performance on the back of robust revenues from its residential projects.

“The first quarter (earnings) has been probably the best first quarter we had in recent years. We are surprised that the sales take-up of our units from NCR (National Capital Region), the total project sales are doing very well,” 8990 Holdings President and Chief Executive Officer Willie Uy said in a press briefing on Wednesday.

Uy said first-quarter earnings were historically slow following the celebration of the Christmas season. 8990 Holdings reported to the local bourse that its net income went up 37 percent to PHP1 billion in the first quarter of the year from PHP736 million the previous year.

The company’s gross revenues reached PHP2.5 billion in the January to March quarter, up by a whopping 57 percent from PHP1.6 billion last year.

“We are looking at least PHP11.5-billion target gross revenues for 2018. Hopefully, we can do it better. I am confident about the year,” Uy said.

Its unaudited revenues reached PHP10.09 billion in 2017. 8990 Holdings said real estate sales increased 57 percent to PHP2.5 billion in the first quarter, as the company delivered a total of 1,786 homes.

About 56 percent of units delivered were from the NCR, followed by Visayas, which generated 24 percent of the total, while Mindanao sold 14 percent.

“We continue to build affordable homes nationwide given the strong demand we have seen. We expect this to further improve as the country’s economy grows,” added Uy.

8990 Holdings is scheduled to launch a total of five projects nationwide this year worth PHP60 billion.