As published in Business World on December 9, 2015
ETON PROPERTIES Philippines, Inc., the property company owned by tycoon Lucio Tan, reported its profits surged 203% to P196.81 billion in the first nine months of the year, fueled by strong leasing income from its business process outsourcing (BPO) and commercial properties.
In a statement released on Tuesday, Eton Properties said its revenues jumped 30% to PI.88 billion in the January to September period, from the.P1.44 billion recorded in the same period last year.
Eton said its BPO offices, Cyberpod Centris in Quezon City and Eton Cyberpod Corinthian in Ortigas Center, as well as retail properties Centris Walk and Centris Station, pushed its 9month rental income 79% higher to P843 million, from the P470 million it posted a year ago.
The BPO office buildings in Eton Centris are currently leased to top outsourcing companies including Genpact, Wipro, Hewlett Packard, Expert Global Solutions, Convergys, Mondelez and Unisys Philippines.
Eton Cyberpod Corinthian has also been leased to Northgate Arinso and Sitel.
The property firm also attributed the increase in rental income to its retail properties, Such as the, twolevel Centris Station, strip mall Centris Walk, and events venue Centris Elements.
"The outsourcing industry in the Philippines sees growth prospects which will result in increased demand for office space. Recurring income from office and retail spaces are currently the company's strongest contributor to its bottom line and we plan to expand our property portfolio with more, office buildings and commercial projects to sustain our longterm growth," Josefino Lucas, Eton Properties deputy chief operating officer, was quoted in the statement as saying.
Eton said it will start building the 25storey Cyberpod Centris Five, the fifth BPO facility in Eton Centris by early next year, and expand Centris Walk to allow for more retail and dining spaces.
In the first quarter of 2016, Eton is planning to launch a mixed use development, Eton WestEnd Square, in Makati City. The project includes a highrise residential condominium, an office tower and a boutique mall.
Eton Properties is part of LT Group, Inc., the holding firm for Mr. Tan's banking, tobacco, alcoholic and nonalcoholic beverage, and real estate businesses.
Shares in LT Group fell 6.81% to P14.68 apiece on Tuesday.—CRAG
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.