DoubleDragon Properties Corp. said first-half consolidated net income surged 234 percent to P1.26 billion from P376.40 million in the same period last year, lifted by a significant growth in recurring revenues.
The property developer said in a disclosure to the stock exchange consolidated revenues rose 198.9 percent in the six-month period to P1.41 billion.
Recurring revenues accounted for 39 percent of the first half sales, up from 29 percent in the same period last year.
The company said it was one track to hit its goal of becoming a 90-percent recurring revenue company by 2020, as it aims to have 1.2 million square meters of leasable space over the next two years.
DoubleDragon said in the second quarter, net income went up by 143.7 percent to P513.5 million from P210.7 million a year ago
“The reason why we are so fixated in hitting our 1.2 million square meter leasable target by 2020 is because the math is simple. With 1.2 million square meters of leasable space, yielding say an average of P750 per square meter per month by that time, this should give the company total annual recurring revenues of P10.8 Billion. This rental income practically translates to about 90% Ebitda margin,” DoubleDragon chairman Edgar Sia II said.
