DMCI Holdings ramps up capex to P57 B this year

By Iris Gonzales (The Philippine Star) | Updated March 23, 2017 - 12:00am

http://www.philstar.com/business/2017/03/23/1683618/dmci-holdings-ramps-capex-p57-b-year

MANILA, Philippines - DMCI Holdings Inc. is setting aside P57 billion for capital expenditures this year, bulk of which will go to its property unit, a top official said.

Herbert Consunji, EVP and CFO of DMCI Holdings, said this year’s budget is 42 percent higher than the previous year’s capital spending.

DMCI Homes will receive P46.54 billion, of which P12 billion has already been spent for project development and land acquisitions, Consunji said.

This year, DMCI Homes plans to launch eight projects with total sales value of P57 billion, covering over 15,300 units, said DMCI Homes president Alfredo Austria.

“Every year, we strive to come up with exciting projects for our valued clients. This is in line with our goal to satisfy the changing needs and preferences of the market,” he said.

Austria is hopeful the company’s new projects will further reaffirm its reputation as a builder of high quality, best value homes and resort-inspired communities that promote quality lifestyle among Filipinos.

For the first quarter of the year, DMCI Homes already launched two of the eight slated projects.  These include Prisma Residences in Pasig City and Mulberry Place in Taguig City.

The remaining six projects, scheduled for launch in the second and third quarter of the year, include hybrid developments, high-rise towers and a mixed-used facility offering residential and office units. These upcoming projects are located in Mandaluyong, Makati, Pasig, Paranaque and Quezon City, officials said.

Integrated energy company Semirara Mining and Power Corp. will get P8.44 billion while DMCI Power will receive P1.33 billion. DM Consunji Inc., on the other hand, will get P570 million while DMCI Mining will have an allocation of P100 million.

DMCI Holdings is the engineering and construction conglomerate founded by the Consunji family let by its patriarch David Consunji, one of 14 Filipinos in the Forbes list of the world’s richest men with a net worth of $3.1 billion.

The conglomerate is engaged in construction, housing, water, mining, power and infrastructure.

Its net earnings slightly fell to P12.1 billion from P12.3 billion as its nickel mining business was suspended.

Lower contributions from real estate and water also led to the drop in income.