SM Prime Holdings (SMPH) Q4 2024 earnings summary

Executive summary

• Achieved record consolidated revenues of P140.39 billion in 2024, up 10% year-over-year, with net income attributable to the parent rising 14% to P45.63 billion and EBITDA up 11% to P82.17 billion.

• Malls contributed 55% of revenues and 59% of net income, followed by residential (34% of revenues, 29% of net income), with hotels/convention centers and offices/warehouses also posting strong growth.

• Total assets surpassed P1 trillion, increasing 8% to P1,019.43 billion, while equity attributable to the parent rose 9% to P433.09 billion.

Financial highlights

• Rent revenues grew 9% to P78.67 billion, real estate sales increased 9% to P45.90 billion, and other revenues rose 13% to P15.81 billion.

• Costs and expenses increased 8% to P72.35 billion, with gross profit margin on real estate at 58%.

• Interest-bearing debt rose 6% to P389.92 billion, mainly due to net availments for integrated property developments and FX translation.

• Cash and cash equivalents stood at P31.25 billion; capital expenditures were P88.7 billion, focused on malls and residential projects.

• Net income margin improved to 33% (from 31% in 2023); return on equity increased to 11.0%.

Outlook and guidance

• 2025 CAPEX budget set at P100 billion, funded by internal cash flows and debt, to support new malls, residential launches, and hotel/convention center expansion.

• Three new malls to open in 2025, with continued redevelopment of flagship malls and expansion of premium residential and leisure offerings.

• Residential launches to focus on regional areas and premium segment; hotel and convention center portfolio to add eight hotels and two convention centers by 2028.