SM Prime Continues to Outperform in 1Q2012, Earnings Up 15%
SM Prime's robust results were driven by a mix of factors namely additional capacity from new malls opened in the Philippines during the past two years, a healthy same-store rental growth of 8% and the rising momentum in its China operations. The four SM malls in China sustained their notable performance, with combined gross revenues rising sharply by 34% to Php0.62 billion, and net income increasing by 44% to Php0.14 billion.
SM Prime President Mr. Hans T. Sy said, “SM Prime's better-than-expected performance during the first three months is a welcome development. It confirms our optimism in the Philippine economy and SM's ability to thrive in competitive environments in China. This bodes well with our plan this year to open five new malls in the Philippines and one in China.
With these new malls, SM Prime greatly enhances its capability to serve the varied needs of its clients and to maintain its dominant position in the industry.”
Earlier this year, SM Prime inaugurated SM City Olongapo, its first mall in the province of Zambales. For the rest of 2012, SM Prime is scheduled to open SM City Lanang in Davao City, SM City General Santos in Southern Mindanao, SM City Consolacion in Cebu, SM City
San Fernando in Pampanga, and SM Chongqing in China.
For the first three months of 2012, SM Prime's consolidated rental revenues contributed 86% to the total, increasing by 15% to Php6.03 billion. Additional rental space came from SM City Tarlac, SM City San Pablo, SM City Calamba, SM City Novaliches, SM City Masinag and the recently opened SM City Olongapo. These malls put in 427,000 square meters (sqm) to the company's total gross floor area (GFA) and presently register an average occupancy rate of 93%.
By the end of this year, SM Prime will have 46 malls in the Philippines and five in China with an estimated combined GFA of 6.3 million sqm.
For further inquiries:
Mr. Jeffrey C. Lim
Executive Vice President
SM Prime Holdings, Inc.
Tel. no.: 831.1000 loc. 7802