Century Rises Most in Three Weeks on Profit Target: Manila Mover
Century Properties Group Inc. (CPG) rose the most in three weeks in Manila trading, poised to snap a six- day loss, after the residential towers builder said profit will rise 61 percent to 3 billion pesos ($74 million) by 2015.
Shares rose 1 percent to 2 pesos at the noon trading break, heading for the biggest advance since March 1, after rising as much as 2 percent. Macquarie Group Ltd. expects the company to report 1.86 billion pesos in 2012 profit when it releases results next month.
The company forecasts reservation sales will climb to 30 billion pesos in 2015, from about 24 billion pesos this year, as it builds more properties and expands outside Manila, Chief Financial Officer Carlo Antonio said in an interview today. Two- month sales are tracking the company’s forecast of 10 percent to 15 percent growth for this year, he said.
“The property sector remains healthy,” Marco Antonio, Century’s co-chief operating officer, said in an interview. “There are a lot of people wanting to buy their first homes and banks are offering long-term financing.”
The developer almost doubled nine-month profit to 1.42 billion pesos last year through Sept. 30 as its strategy of using celebrity names including Donald Trump, Paris Hilton and Versace to brand its projects helped the company sell homes and compete with bigger rivals.
Century is scheduled to construct 31 buildings totaling 1.5 million square meters (16 million square feet), two-thirds of which will be delivered by 2016, Carlo Antonio said.
The company is also planning more offices and commercial properties, and may venture into hotels as it tries to boost recurring income to 30 percent of earnings in five years, he said. Recurring income may reach 5 percent of earnings next year, driven by the opening of a 17,000 square-meter mall before the end of this year, he said.
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