Megaworld Q1 profit up 3.9% on segment gains

LISTED property developer Megaworld Corp. reported a 3.88% increase in attributable net income to P5.29 billion for the first quarter (Q1), as consolidated revenues rose to P21.6 billion and all core segments posted growth during the period.

In a disclosure on Monday, the company said net income for the January-to-March period rose 6% to P6.18 billion from P5.83 billion a year earlier.

Consolidated revenues increased slightly from P20.9 billion in the same period last year, with growth recorded across its leasing, hotel, and residential segments on both a year-on-year and sequential basis.

Leasing revenues grew 6% to P5.6 billion, driven by Megaworld Lifestyle Malls, which posted a 9% increase to P1.8 billion on steady consumer spending and tenant expansion.

The company said more than 12,000 square meters (sq.m.) of new stores opened across its developments during the quarter.

Megaworld Premier Offices recorded a 4% increase in revenues to P3.8 billion, supported by steady leasing activity from business process outsourcing firms and multinational companies.

The company leased over 95,000 sq.m. of office space during the quarter, including about 28,000 sq.m. of new leases, while nearly 80% of leases due for renewal this year had already been secured as of the period.

Megaworld Hotels & Resorts posted an 8% increase in revenues to P1.5 billion, supported by higher room rates and increased meetings, incentives, conferences, and exhibitions (MICE) activity.

Earlier this year, the company launched the P1.5-billion Mactan Expo, a standalone convention center that marks its entry into the MICE segment.

Real estate sales stood at P13.3 billion in the first quarter, unchanged from a year earlier but 15% higher than the fourth quarter of 2025, as construction activity and revenue recognition continued across residential projects in Metro Manila and provincial growth areas.

Projects in Uptown Bonifacio, McKinley West, Westside City, and ArcoVia City were among the main contributors.

“Our first quarter results reflect the compounding strength of our recurring income base as well as the company’s financial prudence to ensure a healthy balance sheet amid geopolitical uncertainties that continue to weigh on global markets. Financial discipline has always been at the center of Megaworld’s corporate governance through the years,” Megaworld President and Chief Executive Officer Lourdes Gutierrez-Alfonso said.

“Our township model is delivering exactly as intended. Anchored in domestic demand and long-term lease contracts, our townships bring residents, workers, and visitors into a self-reinforcing community where every component supports the others. Our deliberate pivot toward provincial expansion is now bearing fruit, with our townships in Visayas, Mindanao, and key Luzon corridors emerging as some of our strongest and most resilient growth centers today,” she added.

Megaworld is targeting two million sq.m. of office gross leasable area (GLA) and one million sq.m. of retail GLA by 2030, bringing total leasing GLA to three million sq.m.

At the start of the year, the company launched its 37^th township, The Sugartown, a 97-hectare mixed-use development in Talisay City, Negros Occidental.

Located along the Bacolod-Silay Airport Road, the development is intended for residential, commercial, and tourism uses.

In the coming months, Grand Westside Hotel will be renamed Mövenpick Manila Bay Westside Hotel, which the company said will be the largest Mövenpick property globally.

At the local bourse on Monday, Megaworld shares rose 0.48% to P2.09 each. — Alexandria Grace C. Magno