THREE listed companies led by Edgar J. Sia II reported strong profit growth in the first quarter, including his property leasing business DoubleDragon Corp., which reported a 5.7% increase in net income attributable to parent firm equity holders to P469.26 million.
“We are pleased to have surpassed our 2022 goal of 1.2 million square meters GFA (gross floor area) of completed recurring income portfolio. The whole cycle coming from zero leasable space, when DoubleDragon listed in the Philippine Stock Exchange last April 2014, to over 120 hectares of fully constructed recurring income portfolio today was not a walk in the park,” DoubleDragon Chairman Edgar Sia II said in a disclosure on Tuesday.
Mr. Sia added that the company expects its prime assets to mature and generate recurring revenues at different times, but that it should reach optimal recurring revenue generation before 2025.
Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) were also up by 8.7% to P1.05 billion and consolidated revenues increased by 13% to P1.71 billion.
In a separate disclosure, DoubleDragon’s real estate investment trust (REIT), DDMP REIT, Inc., reported that its net income surged by 39.8% to P558.9 million in the first quarter.
Total revenues were up by 13.8% to P639.4 million while rental income increased by 15.9% to P589.3 million.
DDMP REIT approved a cash dividend amounting to P496.8 million or P0.027868 per share with the payment date on June 30.
“We are glad that DDMP REIT has remained resilient and has stably passed through what people say is a once in a lifetime major global crisis brought by the COVID-19 (coronavirus disease 2019) pandemic,” Mr. Sia said.
“We believe that the most important feature of DDMP REIT is that 100% of its leasable space sits on prime commercial titled land that DDMP REIT perpetually owns, as over a long period of time, the land value is expected to surpass the value of the building structures, and in the specific case of DDMP REIT, both the titled land and the buildings are owned by the DDMP REIT shareholders forever because the land is titled, and is not a leasehold,” he added.
Meanwhile, MerryMart Consumer Corp. disclosed on Tuesday that its after-tax net income in the first quarter jumped 29.3% to P12.23 million.
Attributable income during the period rose 15.5% to P10.93 million.
“In addition to MerryMart’s continuous growth, we are refining our range of product offerings, building efficiency in our supply chain and adding more house brand products into the mix. As we go forward, our team has the mind-set to continue initiating further improvements and enhancements in many areas of the MerryMart Group for better overall operational efficiency,” Chief Financial Officer Hannah Yulo-Luccini said.
Revenues likewise increased by 30.8% to P1.19 billion and earnings before interest, taxes, depreciation, and amortization (EBITDA) went up by 16.9% to P45.96 million.
For 2022, the company said it expects to exceed the P5-billion revenue mark due to the consolidation of its latest acquisitions.
“The next very important goal will be to reach P12-billion revenue mark as soon as possible, then from that point onwards, we expect a far higher velocity of revenue growth velocity towards the P120-billion revenue goal that we have set for 2030,” Ms. Yulo-Luccini added.
The MerryMart group’s organic branch expansion and recent acquisitions total to 105 branches nationwide. Its various formats are MerryMart Store, MerryMart Market, MerryMart Grocery, MerryMart Delivery and MerryMart Wholesale.
The company, which is also chaired by Mr. Sia, recently formed a new subsidiary, MM Consumer Technologies Corp., with MBOX Smart Lockers as the first in its consumer technology portfolio.
At the stock exchange, DoubleDragon shares slid by 0.39% or three centavos to close at P7.57 on Tuesday. DDMP REIT shares rose by 1.99% or P0.03 to close at P1.54 each.
Meanwhile, MerryMart shares closed higher by 2.65% or P0.04 to P1.55 on Tuesday. — Luisa Maria Jacinta C. Jocson